People moving home hit a record low during recession

In 2008/09, only 9 per cent of all households in England (2.0 million) had moved to their current homes within the previous 12 months, the lowest number since records began in 1994/95, according to the latest chapter of Social Trends, published by ONS.

Between 2007 and 2008 the number of property sales over £40,000 in the UK fell by 44 per cent from 1.6 million to 900,000 due to the recession. The picture was similar across the English regions and Wales with property transactions falling by between 42 per cent and 48 per cent. However, the number of transactions in Scotland fell by less (33 per cent), while in Northern Ireland they fell by more (61 per cent).

In 2009 the average price paid for a dwelling in the UK was £194,235, down 8.1 per cent on 2008.

Changes in the average price paid for a dwelling over the same period varied very little between England and Wales, at 8.4 and 8.2 per cent respectively. However, Scotland saw a smaller decrease (2.6 per cent), while Northern Ireland a much larger one (15.7 per cent).

British Bankers' Association figures highlighted in the chapter show that in the last 12 years the number of loans approved for house purchase peaked in March 2002 at 92,912. The number of loans approved in July 2007, the month before the credit freeze began was 62,363. However, approvals fell rapidly to reach a low of 17,421 in November 2008.

The average value of mortgages for house purchase peaked in June 2007 in the UK at £159,600 before decreasing to a low of £116,100 in December 2008.

The number of repossessions reached its peak in 1991 when 75,500 properties were repossessed.

Repossessions then fell to reach a low in 2004 of 8,200. Since 2004 repossessions have increased nearly six-fold to 47,900 in 2009.

Social Trends editor, Jen Beaumont said: ‘In the recent recession we have seen a large rise in repossessions, but not to the same extent as in the previous recession of the 1990's. This could in part be due to lower interest rates and unemployment this time round.'

Despite the increases in repossessions, a Flash Eurobarometer report in 2010 found that 57 per cent of UK adults felt that there was no risk at all of falling behind with either rent or mortgage payments, while 37 per cent felt that there was either a low or moderate risk and just 6 per cent a high risk.