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House prices in London hit by high property costs and post-Covid trends

Capital has underperformed rest of UK since 2016 but remains most expensive part of the country
London is the worst-performing region in the UK in terms of house price growth

House prices in London have underperformed the rest of the UK for the past eight years because of the unaffordable costs of property, post-pandemic housing trends and high mortgage rates.

Official data this week shows that house prices in the capital were 4.8 per cent lower in February 2024 compared with the year before, much worse than the 0.2 per cent contraction registered in the same period across Britain.

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