Official data added weight to the gloomy picture for London house prices on Tuesday, as annual growth slowed to 2.5 per cent over the year to September from 2.7 per cent in the previous month.
Average house prices in the capital fell for the second month in a row to £484,000 — still well ahead of the next priciest region, the south east, which had an average price of £324,000 in September.
Across the UK home values held up better, according to the Office for National Statistics, with prices increasing 5.4 per cent in the year to September, up from 4.8 per cent in August. While national growth has slowed from around 8 per cent in mid-2016, prices have hovered around a relatively steady 5 per cent annual growth rate throughout 2017.
ONS head of inflation Mike Prestwood said: