The monthly change was 0.5% in January up from 0.1% in December taking the average hosue price to £215,897.

Robert Gardner, Nationwide’s chief economist, commented: “Indicators of UK economic activity were fairly volatile for much of 2019, but the underlying pace of growth slowed through the year as a result of weaker global growth and an intensification of Brexit uncertainty.

“The underlying pace of housing market activity has remained broadly stable, with the number of mortgages approved for house purchase continuing within the fairly narrow range prevailing over the past two years. Healthy labour market conditions and low borrowing costs appear to be offsetting the drag from the uncertain economic outlook.

“Looking ahead, economic developments will remain the key driver of housing market trends and house prices. Much will continue to depend on how quickly uncertainty about the UK’s future trading relationships lifts, as well as the outlook for global growth. Overall, we expect the economy to continue to expand at a modest pace in 2020, with house prices remaining broadly flat over the next 12 months.

Jeremy Leaf, north London estate agent and a former RICS residential chairman, said: “These figures confirm what we are seeing in our offices as there has been more buyer and seller optimism around since even just before the election. But the real test for the market will come in February and March when we will see if that interest translates into higher transaction levels.

“Prices are likely to continue to be underpinned by a shortage of supply and relatively low levels of house building, while ongoing difficulties trying to raise deposits – evidenced by the struggles still facing first-time buyers – will keep demand in check.”