Property News · February 7, 2022

UK house prices hit record high, but cost of living squeeze will slow growth ‘considerably’ – business live


Rolling coverage of the latest economic and financial newsHalifax: House prices hit record of £276,759 in JanuaryYounger generations face significant barriers to home ownershipExperts: House price juggernaut slowingSurging inflation will slow recovery in 2022, predicts EYTesco chairman warns of food price inflation at 5% by springUnions have urged the government to do more to help low-paid workers weather the cost of living crisis, after research found the number claiming universal credit has more than doubled since the start of the pandemic to at least 2.3 million.The TUC said the 1.3 million increase in working universal credit claimants had been caused by households being pushed into financial hardship during Covid and called for a substantial rise in the payments and a higher minimum wage to head off a “perfect storm” of costs coming in spring.“Universal credit urgently needs boosting and we need further action to reduce fuel costs for those battling to make ends meet. The best way to give working families long-term financial security is to get pay rising across the economy.”Rate rises would compromise affordability for those who can least bear it: first time buyers. This is compounded by increasing cost of living pressures which, for many, could push their goal of buying their first home further out of reach.“While mortgage rates remain low by historical standards, buyers have to save bigger deposits than they did pre-pandemic as UK house price growth has significantly outpaced the rise in average earnings in recent history. Continue reading…

Source : theguardian.com
Read more…UK house prices hit record high, but cost of living squeeze will slow growth ‘considerably’ – business live

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