Rolling coverage of the latest economic and financial news
- UK house prices jumped 2.1% in August – second largest monthly gain in 15 years
- Annual price growth rises to 11%
- Prices now 13% higher than when pandemic began
- Shop prices rise amid driver shortages and Brexit red tape
- Coming up: UK manufacturing PMI report, eurozone unemployment
Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the eurozone and business.
UK house prices continued to climb last month, despite the gradual phasing out of the government’s stamp duty holiday, as strong demand, low supply and cheap borrowing costs continues to support the market.
“The bounce back in August is surprising because it seemed more likely that the tapering of stamp duty relief in England at the end of June would take some of the heat out of the market. Moreover, the monthly price increase was substantial – at 2.1%, it was the second largest monthly gain in 15 years (after the 2.3% monthly rise recorded in April this year).
The strength may reflect strong demand from those buying a property priced between £125,000 and £250,000 who are looking to take advantage of the stamp duty relief in place until the end of September, though the maximum savings are substantially lower (£2,500 compared to a maximum saving of £15,000 on a property valued at £500,000 before the stamp duty relief in England tapered).
“There are some modest indications that rising costs are starting to filter through into product prices.”
Related: Shop prices rise amid driver shortages and Brexit red tape
Oil steadies as traders count down the final hours to OPEC+ meeting https://t.co/5pRkhwapN7 pic.twitter.com/GUCSgNtV1U
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European Opening Calls:#FTSE 7144 +0.35%#DAX 15883 +0.30%#CAC 6707 +0.40%#AEX 791 +0.47%#MIB 26135 +0.48%#IBEX 8897 +0.56%#OMX 2365 +0.57%#STOXX 4213 +0.39%#IGOpeningCall
