CONSUMER confidence in the housing market has taken a battering, it was claimed.

A survey by mortgage lender The Woolwich showed that just 47% of homeowners in the Yorkshire and Humber region now expect the value of their property to rise.

That compares with 59% in September.

The figures were revealed as the Bank of England monetary policy committee voted to peg the base lending rate at 4.75%.

Andy Gray, head of mortgages for Barclays and The Woolwich said the move was expected - confidence levels UK-wide were at their lowest for four years.

He said: "We expect confidence to soften further as interest rates are set to peak at 5% in early 2005."

The Woolwich consumer confidence index shows that nationally, just 45% of homeowners now believe their property will continue to increase in value, compared to 52% in September and 56% in August.