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Brexit Spurs Uneven UK House Price Growth, Widening Regional Divide

A decade after the Brexit referendum, new research reveals a significant regional divergence in UK house price growth. Northern regions and devolved nations have seen stronger increases compared to London and the South East.

  • Average UK house prices have risen by 37.7% since June 2016, from £196,106 to £270,080.
  • Northern Ireland leads growth with a 69.8% increase, followed by Wales (53.2%) and Scotland (42.2%).
  • London experienced the weakest regional performance, with only a 10.3% rise.
  • Some London boroughs and Aberdeen have seen house price declines over the decade.

Ten years on from the historic Brexit vote, a stark regional divide has emerged in UK house price growth, with some areas experiencing explosive price rises while others languish behind. Research by property firm Yopa reveals that the average UK house price has surged 37.7% since June 2016, reaching £270,080 by April 2026.

The most significant gains have been seen in traditionally affordable regions outside southern England, with Northern Ireland leading the way with a whopping 69.8% increase (£81,378). Wales and Scotland also saw substantial rises of 53.2% (£73,825) and 42.2% (£56,978) respectively.

Within England, the North West, West Midlands, East Midlands, and Yorkshire and the Humber have all outperformed London, which has experienced a relatively modest 10.3% increase (£51,508). This trend suggests that buyers are increasingly seeking better value and more space in areas beyond the capital.

Verona Frankish, CEO of Yopa, attributes the uneven growth to local market fundamentals remaining dominant, even in the face of major events like Brexit. She notes that strong growth has occurred outside traditional hotspots as buyers opt for greater affordability and value, driving up prices in regions such as Northern Ireland, Wales, Scotland, and large parts of northern and central England.

The analysis also highlights localised declines, with the City of Aberdeen recording the largest fall (-33.7%), followed by the City of London (-31.7%) and the City of Westminster (-24.7%). Other areas seeing falls include Hammersmith & Fulham (-8%), Kensington and Chelsea (-5.6%), Tower Hamlets (-5.2%), Aberdeenshire (-4.6%), Wandsworth (-4.1%), and Southwark (-1.6%).

The regional disparities have significant implications for UK businesses, which must consider the varying economic landscapes when making investment decisions, recruitment strategies, and local economic activity. Lenders will also need to factor in the differing risk profiles across regions when lending.

Source: Yopa

Why this matters: This data highlights a growing economic divide across the UK, impacting household wealth and business investment differently based on geographical location. It signals a notable shift in the dynamics of the UK property market post-Brexit.

What this means for you: What this means for you: If you are a homeowner, the value of your property will have been significantly affected by your location since 2016. For first-time buyers, affordability challenges have shifted, with some northern regions becoming less accessible while parts of London have seen relative stagnation. Potential movers should consider these regional trends when planning their next steps; always consult a qualified financial adviser for personal investment decisions.

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