The UK will avoid a severe recession and a house price crash following the Brexit vote, PricewaterhouseCoopers has said.

It believes that there will be a marked slowdown in house price growth, but no major crash.

It believes that house prices will grow 3% this year and 1% next, before house price growth picks up again in 2018 to around 4%.

In the longer term, it thinks house price growth will average 5% to 6%, with persistent supply shortages keeping house prices rising faster than earnings.

PWC also forecasts that GDP growth could fall to 0% by the end of this year and could be somewhere between 1.5% growth next year or a 1% decrease.

Even if the latter happened, there would not be a severe recession.