Prices rise in parts of the UK

Posted: 08 Apr 2008 11:10:37 GMT

New figures show that house prices increased in many parts of the UK in March.

New figures show that house prices increased in many parts of the UK in March.

The Halifax House Price Index shows that growth was recorded in East Anglia, where prices increased by 1.4 per cent.

In addition, Greater London prices rose by 1.6 per cent, while the biggest increase was seen in the East Midlands (2.2 per cent).

On a national basis, prices actually fell by 2.5 per cent but annually they were up 1.1 per cent.

Martin Ellis, chief economist at Halifax, said that strong fundamentals are supporting the UK housing market.

"Sound economic fundamentals are supporting house prices. A strong labour market, low interest rates and a shortage of new houses underpin housing valuations," he commented.

"Our research shows that the labour market is the key driver of the housing market. Employment is at a record high and unemployment continues to fall," added Mr Ellis.

The Land registry recently put house price growth at zero per cent in February.

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