The ONS’s property price data for July are out and they show average prices up 8.3% on the year (down from 9.7% the previous month). Wage growth for the same period was just 2.4%. In London, prices climbed 12.3% July-to-July, leaving the average London home at £485,000. Not all London postcodes saw gains, however, with Kensington & Chelsea scraping the bottom nationally with a 3% fall. Brexiteers will claim the index as their own… further evidence that the economic fallout following the referendum result hasn’t been what was predicted. But a reversal from 9.7% to 8.3% is significant, and the slow earnings growth might make property prices look vulnerable to the more cautious. More here.
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