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  • The ONS’s official house price index showed that prices in April were 2.6% higher than in April 2012, down slightly from the 2.7% annual increase in March.
    • Prices in England were up 2.8% and in Wales up 6.2% these were offset by falls of 1.2% in Scotland and 0.8% in Northern Ireland.
  • The Council of Mortgage Lenders reported that mortgage lending in May increased to £14.7bn, representing a 21% increase from April or a 17% increase from May 2012.


UK Economy

  • Inflation as measured by the consumer prices index increased in May, the headline CPI rose to 2.7% year on year growth from 2.4% in April.
    • The largest upward contributions came from transport as air fares and motor fuels increased. The largest downward contribution came from food.
    • Retail price inflation also increased in the period up to 3.1% annual rate from 2.9% in April.
  • Retail sales in May looked promising; the volume of goods brought was up 1.9% compared to the May 2012 and the value of goods brought was up by 3.1% and was at the highest level on record. 
  • Britain public finances improved in May, at £12.7bn net borrowing was well below the £15.6bn borrowed in the same month last year. The figures were boosted by a £3.2bn one off payment from Swiss Banks as part of an agreement with the government to make deposits of UK citizens liable for taxation. 

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