RICS survey reports fall in house prices in some parts of the South and no growth in Midlands and East Anglia.

House price growth has ground to a standstill across most of the UK in the last three months according to a RICS market survey.

RICS said that prices were static in Midlands and East Anglia, falling in parts of the South, and showing only moderate increases in the North West, Yorkshire, Humberside and Wales.

For the three months to July RICS reported that only 3% more surveyors reported a rise in prices than those who reported a decline. In March the figure was 45%, and in June 17%.

RICS said that chartered surveyor estate agents believed that the back-to-back rise in interest rates had deterred many potential buyers. RICS said that it was the first time in a year that house prices had froze.

RICS housing spokesman Ian Perry said: “This is a traditionally quite time of year but still buyers and sellers are showing a noticeable air of caution. The latest indication from the Bank of England is that interest rates are unlikely to increase substantially from now until the end of the year.”