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Regional house price gap widens, Land Registry figures show

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House prices rose in every region of England and Wales in the past year - but the pace of increase was vastly different, figures show.

Property prices rose by 7.1% on average in the year to the end of January, with the typical home costing £191,812, the Land Registry said.

The fastest increase was a 13.9% rise in London, compared with the slowest of 0.2% in the North East of England.

Official figures showed the average cost of renting rose at a slower pace.

Private rental prices paid by tenants in Britain rose by 2.6% in the 12 months to the end of January, the Office for National Statistics (ONS) said. Rents rose by 2.7% in England, 0.3% in Wales and 0.8% in Scotland, it concluded.

These figures include new instructions and people already in a rental arrangement. Agents say that the cost of new rental agreements is going up much faster than that.

House price growth

The Land Registry said that the North East and North West of England recorded falls in property prices in January compared with December.

All other regions saw a month-on-month rise in prices ranging from a 3.7% increase in Wales to a 0.6% rise in Yorkshire and the Humber.

These monthly figures can be relatively volatile and the way these changes are calculated varies between house price surveys.

The Land Registry said that, in the year to the end of January, the cost of flats and maisonettes rose faster than any other type of property, up by 8.2%.

Many commentators are predicting further house price increases in many areas of the UK, owing to the number of homes on the market failing to match demand.

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