UK house prices have hit another record high with the average property price reaching £299,138, Halifax has said.The UK's largest mortgage lender, part of Lloyds Banking Group, said property values recovered in January after seeing a slight dip in December.

House prices climbed by 0.7% in monthly terms last month after falling by 0.2% in December, Halifax said, above a 0.2% increase forecast by economists in a Reuters poll. Prices increased by the most in nearly a year in the three months to January.

UK house prices bounced back to hit a new record high at the start of 2025 as buyers rushed to take advantage of a tax break before it expires, according to mortgage giant Halifax.

UK house prices reached a new record average high in January of nearly £300,000, according to Halifax. The average property price was £299,138 as house prices increased by 0.7 per cent month-on-month and three per cent annually.