House prices increased by 0.9% in June, the third rise in the last four months, according to data published by Nationwide.

This rise in house prices brings the annual rate of decline down to 9.3% from 11.3% from May's figures, and has led to hopes that the housing market is beginning to recover.

"House prices have now risen in three of the last four months, suggesting that the improvement that began to show up in March represents more than just statistical noise," said Martin Gahbauer, Nationwide's chief economist.