What next for house prices in 2026?

In this episode of This is Money, host Georgie Frost and co-host Lee Boyce dive into the recent drop in UK house prices, which led to a mere 0.6% increase year-over-year, according to Nationwide Building Society. They explore which areas are seeing rises or declines in property values, highlighting that while house prices have stabilized, affordability for first-time buyers has improved due to lower mortgage rates. Lee also touches on the changing preferences in housing types post-COVID, with buyers increasingly favoring homes with gardens over flats.

As the discussion shifts to savings, they discuss the impending drop in cash ISA rates, suggesting that savers should act quickly to secure higher rates before they fall. Last year saw significant deposits into cash ISAs due to speculation about forthcoming changes in limits, with Lee recommending various providers offering competitive rates.

The podcast then moves onto the topic of New Year's resolutions, particularly focusing on financial goals. Lee offers a guide on how individuals can set and achieve ambitious targets, including the potential for early retirement by managing investments wisely. He breaks down the steps necessary to retire at 50 and highlights the importance of having clear financial goals and maintaining good financial habits.

Finally, the conversation turns to the coffee industry, specifically focusing on the struggles of chains like Costa, which have seen losses due to competition from value-led brands like Greggs. Lee ponders the future of discretionary spending on coffee, noting how consumer preferences are shifting towards quality and experience in smaller independent cafes, thereby impacting larger chains.