UK Nationwide house price growth slowed to 0.8% year-on-year in September 2026, down from 1.6% in August and below the estimated 1.3% increase. Prices fell 0.2% from August, reversing the prior month's 0.2% rise, and the average property value declined by £1,214 to £274,251. The annual increase was the weakest since December 2025. Nationwide Chief Economist Robert Gardner said subdued activity reflected economic uncertainty, while the Iran war and wider Middle East tensions had lifted energy prices, intensified inflation concerns and pushed up market rates that influence mortgage pricing. Money markets put the probability of a Bank of England rate increase from 3.75% to 4% in November at 84%, while traders expect Bank Rate to reach 4.75% by July. East Anglia recorded a 0.7% annual decline, and four UK regions posted falling prices in the three months to September. Household energy bills rose 4% under the latest Ofgem price cap, while analysts warned that higher borrowing costs and uncertainty over potential property-tax changes in the autumn Budget could further weaken housing demand.