Affordability issues are continuing to mount after Halifax reported its highest house price on record.

According to the lender, which bases its price on mortgages agreed data, the average UK house price is now £227,871.

While a new high for the Halifax, it is not the highest house price recorded by the various indices, as Halifax does not include cash transactions.

According to Halifax, prices in the three months to March were up 2.7% compared with the same period the year before, and were up 1.5% on a monthly basis.

Halifax said it expects house price growth of 3%, saying that the continued shortage of properties for sale will help support further price increases.