The latest data from The Office For National Statistics has revealed that UK house prices increased by 8.4% in the year to January 2015, a drop of 1.4% compared to the previous month.

The report highlighted that annual house price growth is beginning to show signs of slowing across the majority of the UK with increases in England mainly driven by a 13% annual increase in London. The average UK mix-adjusted house price in January 2015 was £273,000.

The lowest growth in January 2015 was in Yorkshire and the Humber, where prices increased by 3.6% over the year. Excluding London and the South East, UK house prices increased by 6.5% over the year to January 2015.

Seasonally adjusted, average house prices fell on average by 0.2% between December 2014 and January 2015.

However the average price for properties bought by first-time buyers increased by 9.7% over the year to January 2015, up from an increase of 9.5% in December 2014. In January 2015 the average price paid for a house by a first-time buyer was £210,000.

The average price for properties bought by existing owners increased by 7.8% in the year to January 2015, down from an increase of 9.8% in December 2014. In January 2015, the average price paid for a house by a former owner-occupier was £314,000.