BANK OF ENGLAND SAYS MILLIONS MORE TO FACE HIGHER MORTGAGE COSTS 

The Bank of England has said that UK households and businesses have been "resilient" in the face of rising interest rates, but repeated previous warnings that the full effect of higher interest rates was yet to come through (Sky News).  

In its twice-yearly Financial Stability Report the Bank noted around five million further households will be impacted by higher mortgage rates by 2026. Separate UK Finance data showed how increased mortgage rates and high house prices are impacting affordability for mortgage borrowers (Independent). 

HOUSE PRICES RISE IN NOVEMBER 

The average price of a UK home rose by 0.5 per cent in November, following a rise of 1.2 per cent the prior month, according to new data from Halifax (City AM). 

On an annual basis, house prices fell by one per cent, meaning the average property costs £283,615 (BBC News). The increase comes after separate data from Nationwide also showed house prices rose in November compared to the previous month (Telegraph). 

NEWS IN BRIEF

Cash use has increased for the first time in 10 years, according to new figures from the British Retail Consortium (BBC News).  

Immigration minister Robert Jenrick resigned from the government last night over the new approach to asylum policy and Rwanda (Financial Times). 

The UK economy has “lost momentum” and will manage only sluggish rates of growth for the next three years, according to forecasts from the British Chambers of Commerce (The Times). 

The UK’s labour market remains tight, despite a fall in job postings by employers over the course of 2023, according to figures from recruitment platform Indeed (Reuters).