Mortgages  

UK health and wealth offset by house prices

According to the ONS, house prices in London are increasing faster than the national average. Meanwhile gross disposable income a head is the highest in the capital – at £20,509 – inflation is still biting and prospective buyers are getting less for their money.

The figures showed that the lowest disposable income per capita was in the north east of England, at £13,560 per head., where the statistics also showed that unemployment is at its highest, at 10.3 per cent.

However, house price growth remained steady across the north of England, helping to keep the overall house price rise at 3.8 per cent year-on-year, despite significant rises in property prices across London and the south east.

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Commenting on the rise in house price figures, Paul Hearnden, adviser for Surrey-based Hearnden Associates, said: “This trend has been assisted by government schemes such as Help to Buy. A positive spin in the press has also helped people be more confident about buying property.”

However, Mr Hearnden said he had concerns about Help to Buy, adding: “It is artificially accelerating the market in the south east, which could spell danger, as it could over-heat the property market. This is something we could all do without.”

The ONS statistics also showed nemployment is at its lowest level in the east of England, at 5.9 per cent, and gross disposable income is highest in the south east, at just over £18,000.

The statistics suggested that people in the south of England were more likely to live longer and remain economically active for longer, with the average male life expectancy roughly 80 years in the south east, compared with 75 for Scotland and 77 for the north of England.

House Price Growth:

The year-on-year increase reflected growth of:

4.1% in England

1.1% in Northern Ireland

1% in Wales

and a fall of 0.7% in Scotland.

Life Expectancy

Country

Male life
expectancy
at birth,
2009 to 2011
(Years)

Female life
expectancy 
at birth,
2009 to 2011
(Years)

England

78.4

82.4

Wales

77.5

81.7

Scotland

75.8

80.3

Northern Ireland

77.0

81.4

England North East

77.5

81.5

England North West

77.4

81.5

England Yorkshire and The Humber

78.1

82.0

England East Midlands

78.7

82.8

England West Midlands

78.4

82.6

England East

79.9

83.6

England London

79.3

83.6

England South East

80.0

83.8

England South West

79.8

83.7

Key Statistics: Household Income. Source: ONS

Region

Gross disposable
household income
per head, 
2011 
(£) 

North East

13,560

North West

14,476

Yorkshire and The Humber

13,819

East Midlands

14,561

West Midlands

14,362

East

16,608

London

20,509

South East

18,087

South West

16,014