London pushes nationwide house prices into double digits

The average house price in England and Wales grew by more than 10 per cent in August, driven once again by London and the South East.

Figures from LSL Property Services show an average price of £274,302 across England and Wales, up 10.7 per cent from the £247,891 average reported in August last year.

Excluding London and the South East, the average price drops to £185,496. The price disparity of £89,000 is the widest recorded since 1995. Removing London and the South East, the growth for England and Wales drops to 4.3 per cent, up from £177,848 at the same point last year.

E.surv director Richard Sexton says: “A game of two halves is being played out in the UK property market. In terms of average house price growth, a gap has developed between the South East corner and the rest of the country.

“If we exclude the key players of London and the South East from the game, a whole different playing field is revealed.”