UK house prices slip 0.2% in September as markets price in November rate rise to 4%
UK house prices unexpectedly fell 0.2% month on month in September, taking the average price to £274,251 and cutting annual growth to 0.8%, the weakest since December 2025. Money markets imply an 84% probability the Bank of England will lift rates to 4% in November as energy prices driven up by the Middle East conflict add to inflation pressure. Price growth slowed across most parts of the UK ahead of the expected rise in borrowing costs.