British house prices fell for a second month in a row in April, suggesting households are feeling the pinch from rising inflation since last year’s Brexit vote and low wage growth, data from mortgage lender Nationwide showed on Friday.

Nationwide said house prices declined by a monthly 0.4 per cent following a fall of 0.3 per cent in March, which had been the first fall since mid-2015. In annual terms prices were 2.6 per cent higher, the weakest increase in almost four years.

“While monthly figures can be volatile the recent softening in price growth may be a further indication that households are starting to react to the emerging squeeze on real incomes or to affordability pressures in key parts of the country,” said Nationwide economist Robert Gardner.

Economists polled by Reuters had expected house prices to rise 0.1 per cent in April from March, and by 3.3 per cent in annual terms. – Reuters