LONDON, Sept 18 Reuters British house prices rose by an annual 2.2 in July, the fifth monthly rise in a row but the pace of increase cooled and was below a revised 2.7 increase in the 12 months to June, the Office for National Statistics said on Wednesday.

The ONS said house prices in London fell 0.4.

Other indicators of Britain39;s property sector have shown a recovery as demand improved after a cut in borrowing costs.

But no change in British consumer price inflation in data published earlier on Wednesday prompted investors to trim expectations of a cut in interest rates by the Bank of England on Thursday.

The ONS also said its gauge of private rents rose by 8.4 in the year to August.

Reporting by Suban Abdulla, editing by Andy Bruce

Source Reuters