The House of Commons Library has just released its regular Housing market: Economic indicators.

The report can be seen here, and says

House Prices Continue to Rise

• House prices increased by 4.9% between January 2024 and January 2025.

• On a seasonally adjusted basis, prices rose 0.7% between December 2024 and January 2025.

• Regional differences:

  • Fastest growth: North East, Northern Ireland, and North West.

  • Slowest growth: London, South West, and East of England.

Mortgage Approvals Rising

• January 2025 mortgage approvals: 66,189 (up 18% from 55,941 in January 2024).

• Approvals were broadly unchanged from December 2024.

• Mortgage approvals remain lower than post-pandemic peaks.

House Building Activity

• House completions (England, Q4 2024): 36,830 (up 2% from Q3 2024, but down 9% from Q4 2023).

• House starts (England, Q4 2024): 30,860 (up 7% from Q3 2024 and up 52% from Q4 2023).

• Regulatory impact:

  • House builders rushed to start projects before new energy and EV charging standards took effect in June 2023.

  • This caused an artificial peak in Q2 2023, followed by lower starts in subsequent quarters.

Market Outlook

• House prices remain resilient, though growth varies across regions.

• Mortgage approvals show demand is stabilising, but at lower levels than 2020-2021 highs.

• Housebuilding remains volatile, with regulatory changes influencing trends.