The Lloyds House Price Index showed that UK house prices rose by 0.6% year-on-year in June 2026, following a 0.5% increase in May. On a monthly basis, prices were up 0.2%, reversing May’s 0.2% decline and lifting the average property price to £299,330.
Amanda Bryden, Head of Mortgages at Lloyds, said the rebound was supported by easing borrowing costs as mortgage rates retreated from recent highs. However, she noted that affordability remains under pressure, and broader economic uncertainty — including global developments affecting inflation and interest rate expectations — continues to weigh on the housing market.
Although mortgage approvals fell 14.9% in May, reflecting the impact of higher borrowing costs earlier in the year, Lloyds expects housing activity to recover if financing costs continue to ease.
Regionally, Northern Ireland recorded the strongest annual house price growth at 7.4%, followed by Scotland (3.9%), the North East (2.8%), and the North West (2.4%).
