House prices have risen on an annual basis by the fastest rate in since December 2022, according to Nationwide’s latest index.

The latest figures show prices were 2.4% higher in August compared to the same month last year, compared to 2.1% annual growth in July. It is the highest annual figure since the 2.8% recorded in December 2022 in the wake of Liz Truss’ mini-budget, which led to borrowing costs spiking.

The annual rise comes despite a 0.2% drop in prices in August compared to the previous month.