POUND NOTES
The UK’S rate of inflation cooled in July to 2%, down from near three-year highs of 2.5% in June, but was pushed higher by petrol prices hitting highs not seen for nearly eight years.
The Office for National Statistics (ONS) said the Consumer Prices Index (CPI) is now in line with the Bank of England’s target and was reduced due to a fall in clothes prices as summer sales took place.
The cost of recreational goods and services also fell, particularly the cost of routers, web cams and computer software, the ONS said.
Homeowners could end up £326,000 wealthier over a 30-year period compared to people who rent, before potential house price growth is even considered, according to a new report.
The Equity Release Council, which represents the UK equity release sector, found that nearly one in three homeowners see their mortgage as being like an investment in their future.
And nearly half of homeowners with a mortgage agree they are able to save more because their loan is cheaper than renting, due to unprecedented low interest rates.
Around 40% added they believe having a mortgage in later life is becoming more acceptable and 57% said they are looking at ways to release equity from their properties.
A scramble by buyers to complete before the stamp duty holiday started winding down pushed UK house prices to a record high. Official figures show house prices rose by 13.2% over the year to June, faster than at any point since November 2004, according to the Office for National Statistics (ONS).
Across the UK, the average house price in June reached a high of £266,000.