UK house prices increased 2% in the year to June 2026, according to the existing UK House Price Index record, down from a revised 3% annual rise in May. A separate DCLG account gives the May increase as 2.7%, creating a discrepancy in the prior-month comparison, but both figures indicate a cooling market. Average prices rose 0.1% between May and June on a non-seasonally adjusted basis, taking the typical UK property value to £272,000. England recorded annual growth of 1.8%, with an average price of £293,000, while the North West posted the strongest annual increase at 4.7% and London was the only English region to record an annual decline, at 2.5%. Higher interest rates, mortgage costs and inflation-weakened household incomes are weighing on affordability and demand, although the market is moderating rather than collapsing. The data is based on completed transactions and should be interpreted cautiously because sales typically take six to eight weeks to complete and monthly figures can fluctuate.