UK house prices grow at slowest pace in two years as mortgage rates rise

Sluggish growth of 0.5% in October comes as higher borrowing costs put break on market

UK house prices grew by an annual rate of just 0.5% in October, the slowest pace in more than two years, as higher mortgage rates put off potential buyers.

The average price for a property in the UK stood at £273,566 in October, flat on the previous month and down from 0.8% in the year to September, according to the lender Nationwide.