THE number of people moving home in the UK has fallen for the first time in five years, according to a report by Lloyds Bank.

There were 354,000 people who moved homes in 2016 compared to 367,300 in 2015 – a four per cent decrease.

Meanwhile, the Lloyds Bank Homemover Review found that the average home mover’s deposit rose to £100,000 in 2016, increasing to £192,000 in London.

The average house price paid by home movers increased by seven per cent from £273,510 in 2015 to a record high of £291,777.

The bank also identified a trend in the past decade for people taking out longer mortgage terms that extend beyond the traditional 25-year term.

In 2016 39 per cent of mortgages were for a term of between 25 and 35 years compared to just 17 per cent being over 25 years in 2006.

Andrew Mason, Lloyds Bank mortgages director, said: “Despite favourable economic conditions including record low mortgage rates, high employment levels and rising real pay growth, the number of home movers fell in 2016 for the first time in five years.

“While higher prices will have lifted equity levels for many current owners, the low availability of the ‘right type’ of homes for those looking to move up the housing ladder may have constrained market activity.

“Of course, Higher prices may explain why more home movers are opting for longer mortgage terms. The ability of home movers, particularly those in the first homes, to move on is an important component in the housing market as it increases the supply of properties, providing homes for new first time buyers.”