building society

Savers would likely see a reduction in the returns offered by banks and building societies.

The UK's base interest rate, which dictates the borrowing costs charged by banks and building societies on loans, is currently 5%.

The building society said that annual growth was the highest since November 2022, with terraced homes driving the increase.

Mortgage lenders' attempts to lure in first-time buyers have stepped up with the UK's biggest building society allowing some to borrow more.

Individual banks and building societies have been under pressure to pass on the recent higher interest rates to customers.