UK house price growth slows in April, RICS says

House price growth in the UK slowed in April the results of a survey showed, but both surveyors and analysts expected to see a re-acceleration in the back-half of 2016.

The Royal Institute of Chartered Surveyors' house price balance dropped from 42% in march to 41% in April, but nevertheless came in ahead of the 35% forecast by economists.

Activity in the sector cooled as a result of the increase to stamp duty for buy-to-let and second home purchases at the start of April.

That saw a guage of new buyer inquiries fall off from a reading of +2 in March to -22 in April, its weakest print since September 2008.

Uncertainty surrouding the EU referendum may also have played a role.

However, lower supply and banks' increased willingness to lend should ensure demand recovers quickly, Samuel Tombs, chief UK economist at Pantheon Macroeconomics, said in a research note sent to clients.

The new instructions balance was down from -2 in March to -8 in April

RICS' own balance of chartered surveyors' price expectations also jumped, from +27 in March to +34 in April, above its long-term average of +23.

"As a result, we think that the recovery in housing market activity and prices has only hit a speed bump, and will regain momentum in the second half of this year," Tombs said.