House prices across Britain set to rise 30% in four years

The yuan's troubles are hitting demand for prime London homes
The yuan's troubles are hitting demand for prime London homes
MATTHEW LLOYD/ GETTY

House prices are expected to rise by nearly a third over the next four years, with almost every English region overtaking the capital, but the devaluation of the Chinese yuan is hitting demand for prime London homes.

BNP Paribas Real Estate is forecasting that house prices will jump by 30.4 per cent across Britain between next year and the end of 2019 to reach £260,000, buoyed by robust economic growth and the chronic undersupply of new homes.

Growth will be strongest in the southwest at 39.7 per cent, followed by the West Midlands and the southeast at 34.9 per cent and 32.5 per cent respectively, the analysts said. At 19 per cent, the north will be the only English region to experience a lower rise