Plymouth recorded the steepest rise in UK house prices in 2025, with average property values increasing by 12.6% to £278,808, according to data from Lloyds Banking Group. The south-west city outpaced other hotspots such as Stafford and Wigan, which also saw double-digit growth.
Nigel Bishop of Recoco Property Search attributed the surge to substantial infrastructural investments, including the Royal William Yard development, which created new homes. Improved retail, sporting, and lifestyle amenities have made Plymouth attractive to buyers of all ages, fueling a competitive market.
Hull entered the top 10 for the first time, with prices up 6.5%, following its designation as a National Geographic 'best of the world' destination for 2026. Across the UK, average house prices rose 3.7% year-on-year, with Northern Ireland leading regional growth at 5.8%, while London saw a slight dip of 0.1%.
Separate research from Savills indicated that price falls at the top end of the market have slowed since the Budget, as tax changes proved 'better than feared'. In prime central London, values fell 0.9% in the final quarter, an improvement from the previous quarter's 1.8% decline. However, prices in traditional prime neighbourhoods have lost a quarter of their value since 2014.
Frances McDonald, director of research at Savills, noted that confidence among prime buyers has improved modestly, particularly in the £2m-plus market, but demand remains thin in the most expensive central postcodes due to the end of the non-dom regime.
