PwC comments on the latest ONS house price data - November 2025

Commenting on the latest ONS house price data, Nabil Taleb, Economist at PwC UK, says:  

“According to the latest ONS data, UK house prices rose by 2.6% in the 12 months to September, down from 3.1% in August. The average home now costs around £272,000. Despite house price growth slowing since June, the housing market has held up better than many expected in the face of higher interest rates and heightened economic uncertainty. 

“Private rents increased by 5.0% in the 12 months to October, compared with 5.5% in the previous month. This is the slowest annual increase since August 2022 and marks the tenth consecutive month of easing rental growth, signalling cooling in the lettings market. 

“The wider economic backdrop is starting to look more hopeful. Inflation eased to 3.6%, down from 3.8%, suggesting the UK may now be past the peak, though it remains above the Bank of England’s 2% target. The Bank has made clear it will take the latest figures in its stride but stay cautious, with any rate cuts guided by evidence rather than speculation. A key factor in that judgement will be the upcoming Budget, which could influence both household costs and incomes. While the path to lower interest rates is becoming more plausible, uncertainty persists until those policy choices are known, leaving the housing market highly sensitive to fiscal and monetary developments in the months ahead.”