UK House Prices Fall 0.4% Year on Year in August, Lloyds Says

UK house prices fell on an annual basis for the first time in nearly three years in August 2026, according to the Lloyds House Price Index.

The average property price was £298,468 in August, down from £299,153 in July. Prices fell 0.2% on the month after a revised 0.1% fall in July.

On a year-on-year basis, prices were 0.4% lower than in August 2025. Lloyds said that was the first annual decrease since November 2023.

Andrew Asaam of Lloyds said the market remained subdued in the face of higher inflation, borrowing costs and geopolitical tensions. Prices were still marginally up, by 0.2%, since the start of the year.

Northern Ireland continued to record the strongest annual growth among UK nations and regions, at 6.9%, while southern England showed sharper annual declines in the same release coverage.

These figures are educational context on how UK house prices moved in August. They are not a forecast of local prices, mortgage rates or any individual’s buying or selling decision, and they are not advice.