View more on these topics

Halifax predicts 2% fall in house prices

Property prices will fall by 2 per cent this year, forecasts Halifax.

House prices rose by just 0.1 per cent in the last quarter of 2004, according to the Halifax house price index.
It says this is the lowest quarterly gain since the second quarter of 2000 and is further indication of a slowdown in the market. It predicts that base rates have peaked and will fall slightly through the year.

However, Halifax believes the market’s foundations remain sound and a strong labour market, historically low interest rates and a supply shortage should curb the extent of the slowdown and it predicts a 2 per cent fall in 2005.

Last year saw an overall 15.1 per cent increase although the rise in the second half was only 2.8 per cent. This was the lowest annual rise recorded by Halifax since 2001, when prices rose by 11.7 per cent.

The average house price in the UK is now 162,086. Scotland remains the only UK region with an average price below 100,000. London is the most expensive region with an average price of 241,670.

Chief economist Martin Ellis says: “The continuing signs of a genuine slowdown in the housing market are likely to be a key factor contributing to the removal of pressures on the Bank of England to raise interest rates again. We believe that base rates have peaked at their current rate of 4.75 per cent and that rates will end the year half a percentage point lower at 4.25 per cent.”


Jupiter’s Shaftan to take maternity leave

Jupiter emerging European opportunities fund manager Elena Shaftan is taking maternity leave from the end of April to the end of June. Shaftan will continue to oversee the fund, but in her absence day to day management will be carried out by deputy manager Ingrid Kukulijan who will be supported by Leon Howard-Spink.

Poor life office service costs each IFA 8,000

Declining service standards from life and pension providers are costing IFAs over 200m a year, according to research by insurance technology specialist FIS Software.

Investment view

You will all be fixing your first meetings of the year with clients and wondering how to guide them over the year ahead.


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm