House prices '8% down on last year'
The average property now costs just £169,000 in the UK - £15,000 less than it did last year.Nationwide said today that house prices have fallen by a further 1.7 per cent this month, bringing the annual drop to a record 8.1 per cent.This is the largest 12-month decline since the firm began its house price survey in 1991.Nine consecutive months of falls have now been marked by the lender, which blamed the credit crunch for the trend.However, recent reductions in mortgage costs were cited by Nationwide chief economist Fionnuala Earley as reasons to hope that the housing market would begin growing again."Overall the weakening economy and poor housing market sentiment do not suggest that the market will recover quickly," she said."As the cost of mortgages begins to come down, activity could be bolstered and restore some liquidity to the housing market," she added."However this is not expected to happen overnight."
Share this..
Related stories
Scottish economy to be hit by budget cuts
The Scottish economy is facing £4 billion budget cuts over the next four years which could see the end of various free services in the country and a significant reduction in the public-sector workforce. The ruling SNP party has for many years attempted to sweeten the situation for the Scottish population with free prescriptions, council tax freezes and other benefits which are not available in th...
Read MoreClinton Cards places Birthdays chain into administration
There were cards of condolence for the 332 store Birthdays chain today with news that the company has been placed into administration by parent Clinton Cards. Birthdays is one of the best-known card retailers in the UK and was taken over by Clinton Cards back in 2004 for £46.4 million, in what was expected to be an earnings enhancing and very lucrative merger. However, the business has continued...
Read MoreFund managers continue to sell UK equities
It has been revealed that more and more UK fund managers have been selling equities and either reinvesting proceeds into fixed interest investments or retaining cash on deposit. While this move may seem sensible to some there are concerns that it is too little too late after the UK market has fallen so dramatically over the last 12 months. If the market was to suddenly rise on the back of interest...
Read MoreNHS hospitals under pressure over parking
A report by the Which? magazine has highlighted a growing problem in the UK NHS system with many hospitals now making significant income from car parking charges and car parking fines. The Epsom and St. Helier University Hospital trust is reported to have clamped nearly 1,700 cars in one year and made a profit of over £1.8 million. However this is just the tip of the iceberg with car parking char...
Read MoreGeorge Osborne delighted at IMF rubberstamp
As you might expect, George Osborne, the Chancellor of the Exchequer, has today expressed his delight at IMF backing for the UK government's austerity measures in the short to medium term. As we covered in one of our earlier articles, the IMF fully understands the need for the UK government to slash public-sector spending to protect the UK government's international credit rating. When such a part...
Read More