British house values fell at the highest rate since 2009 due to higher interest rates, with housing prices being 4.6% lower last month than in August 2022.

A poll predicted a median 3.45% reduction, compared to a 2.5% yearly drop in July.

August prices plummeted 1.9%, the most since November 2022 and more than the 0.3% poll expected.

The Bank of England hiked rates 14 times since December 2021, reaching 5.25% in August.

Housing demand grew during the COVID-19 pandemic, temporary tax reductions, and low interest rates.