House prices continue to rise across Britain, with northern England maintaining its position as the country’s strongest-performing housing market.

This is according to the latest house price index from e.surv. 

While growth has moderated in some leading regions, Yorkshire and the Humber and the North West continue to outperform the rest of the country.

In July, the average house price across Britain reached £329,500, representing annual growth of 1.7%. 

Yorkshire and the Humber remained the strongest-performing region, with prices rising by 4.0% year on year, followed by the North West at 3.6%. 

However, when comparing the latest quarterly price change with the average quarterly pace over the past 12 months, both markets show signs of slowing.

Similar patterns can be seen across parts of northern England, the Midlands and Wales. Prices continue to rise across these regions, but the latest quarterly figures suggest growth is easing after a very strong period.

Rob Owens, head of research at e.surv, says: “Momentum is easing in the regions that have led the market this year. Yorkshire and the Humber and the North West remain the strongest-performing regions, underlining the ongoing appeal of more affordable markets outside the South East. 

Recent growth is now running below the pace seen over the past 12 months, so the gap is narrowing from the top rather than because weaker markets are catching up.”

“That is happening against a backdrop of higher borrowing costs and affordability pressures, and the same pattern is visible across northern England, the Midlands and Wales, as well as in several larger cities. 

“The latest data shows house prices are still rising across these areas, but the pace is becoming more measured than earlier in the year.”

“Looking closer at cities, this easing of momentum is present across Sheffield, Liverpool, Birmingham, Newcastle and Bristol, and is less pronounced in Leeds and Manchester.”

“Overall, northern England remains Britain’s house price growth leader, but momentum is now easing at the top of the market.”