Despite the most recent house price survey from the Halifax confirming that the property market is suffering a slight slowdown, experts have stated that prices will continue to rise over the long term.

According to a new report from the Centre for Economic and Business Research (CEBR), the average house price will be £460,000, 2.4 times higher than it is now, by 2025, with this rate of growth likely to be higher still should the government fail in its plans to build an additional three million homes by 2020.

John Ward, one of the co-authors of the CEBR report, said: "Meeting its targets for house building will be crucial if the government is to help alleviate the current supply shortage in the housing market - and make a real contribution towards helping first-time buyers to get on to the property ladder in the longer term."

In addition, the CEBR concurred with many other property observers in its prediction that the Bank of England will raise interest rates to six per cent before the end of the year in an attempt to cool market growth.

At present, the average UK home costs £198,915, according to the Halifax report.