Inflation now stands at 9.9pc – and this brings a dangerous triple whammy for house prices.

Millions of households face even more cost of living pressure as there have been warnings of a 0.75 per cent rise in interest rates, which could increase mortgage payments by hundreds of pounds a year.

The favourite to be named as the new Prime Minister and Conservative leader, Liz Truss, says there will be no new property taxes under her rule.

Landlords have flocked to auction houses in search of a quick sale after tax changes and rising interest rates killed off their profits.

The average buy-to-let mortgage rates for some typical two-year fixed rate deals favoured by landlords have doubled since the start of the year, it has been revealed.

The high rates could see the market boom coming to an end as there are expected to be 150,000 fewer purchases made in 2023, causing a 12 percent decline and falling back to levels seen in 2013, the company warned.

Latest figures released by HM Revenue & Customs show yet another large increase in the amount of taxation received by the Treasury from landlords and other property owners.

The average price of a UK home climbed again in August, although the rate of annual growth slowed, as the country’s largest lender warned of a “more challenging period” ahead for house prices amid rising interest rates and the cost of living squeeze.