POUND NOTES

BUYING A HOME IN A UK CITY ‘LEAST AFFORDABLE SINCE 2007’

CITY living is at its least affordable level for home-buyers since 2007, a report suggests.

The average house price in a UK city in 2018 equated to 7.2 times average annual earnings – making the cost of buying a home the least affordable since 2007, when buyers had to fork out 7.5 times their income typically, Lloyds Bank found.

The average home in a city cost £248,233, while average full-time earnings stood at £34,366.

NOW SAVERS CAN INVEST IN PREMIUM BONDS WITH JUST £25

SAVINGS provider NS&I has cut the minimum initial investment for Premium Bonds from £100 to £25 - helping people start a savings habit more easily.

It marks the first time in the 63 years since Premium Bonds launched that the minimum investment has been lowered, and is the lowest minimum purchase since 1993, NS&I said.

The change will allow people over the age of 16 to purchase or set up a standing order for a minimum of £25, or gift at least £25 to children or grandchildren.

HOUSE PRICE GROWTH AT LOWEST RATE IN MORE THAN FIVE YEARS

HOUSE prices increased at their slowest annual rate in more than five years in December, according to official figures.

Across the UK, property values increased by 2.5% in the year to December – the lowest annual rate since July 2013 when there was 2.3% growth.

The figures were released jointly by the Office for National Statistics (ONS), the Land Registry and other bodies.

There were variations across nations and regions, with price growth topping 5% in Northern Ireland, Wales and the West Midlands, while the North East of England and London saw values slide lower.

The average UK house price was £231,000 in December.

Over the past two years, there has been a general cooling in price growth, driven mainly by a slowdown in the south and east of England, the report said.

Prices increased by 5.5% in Northern Ireland, 5.2% in Wales, 2.4% in Scotland and 2.3% in England.