UK house prices hit record high but cost of living crisis likely to cool market

The average cost of a home is 11% higher than a year ago, about the largest annual increase since the 2007 financial crisis. Photograph: Parkerphotography/Alamy

UK house prices hit a record of £282,753 in March but are likely to ease over the next year as homebuyers face higher interest rates and the cost of living squeeze, Halifax has said.

The average cost of a home rose by 1.4% on February, according to Halifax’s monthly property index, and is 11% higher than a year ago, about the largest annual increase since the 2007 financial crisis.