London

BRITISH house prices rose at their slowest annual rate in nearly two years in May, as growth continued to moderate after double-digit increases in the middle of 2014, figures from mortgage lender Nationwide showed on Wednesday. Nationwide said that house prices in May were 4.6 per cent higher than a year before, the smallest annual increase since August 2013 and down from a rate of 5.2 per cent in April.

House price inflation hit a peak of 11.8 per cent in June last year, but eased as regulatory restrictions on mortgage lending took effect, and Nationwide said cash buyers now accounted for a record 38 per cent of purchases.