The UK housing market showed fresh signs of cooling in August, as the Lloyds House Price Index moved into negative territory on a year-over-year basis. The index fell to -0.4% in August 2026, down from a marginally positive 0.1% in July 2026, according to data updated on 7 September 2026.
The figures mean that, compared with August a year earlier, average house prices tracked by the Lloyds index were 0.4% lower, marking a deterioration from July’s slight annual gain. By contrast, July’s reading had still been just above water, with prices up 0.1% versus the same month a year before.
The data underline a shift in momentum for the UK property market, with annual price growth now turning negative on the latest monthly comparison to the prior year. Both the “previous” and “actual” readings are measured on a year-over-year basis, comparing each respective month with the same month in the prior year.
