Property prices per square metre across Britain have increased by 236 per cent in the past 20 years, according to research by Halifax.
The average price per square metre is now £2,260 compared to £672 in 1997.
But there have been drastic regional differences, with prices per square metre in Greater London increasing by 402 per cent compared to 147 per cent in Scotland.
There are 20 areas in Greater London which have an average price in excess of £5,000 per square metre.
The area which has seen the greatest increase since 1997 has been Hackney, where prices have risen 753 per cent to £6,942.
Kensington and Chelsea was Britain’s most expensive area, with an average price of £11,192 per square metre.
All of the 10 most expensive areas by square metre were in the capital.
The least expensive area per square metre was Hartlepool, where a property would cost only £1,070 per square metre.
Russell Galley, managing director of Halifax, said looking at prices per square metre can help adjust for differences in property size and type.
He said: “Unsurprisingly, there are parts of central London that are substantially more expensive than anywhere else in the country.
“However, we can see a number of notable pockets emerging outside the South of England, particularly in the West Midlands and North West.
“Over the last 20 years the gap between southern England, particularly London, and the rest of the country has increased substantially – a trend that has continued during the last five years.”
Outside of southern England there were nine areas that fetched a higher property price per square metre than the national average, including Altrincham, Sale and Cheadle in the north west, and the West Midlands towns of Leamington Spa and Solihull.
Of the 10 most expensive areas outside southern England, Altrincham in the north west is the most expensive with an average price of £2,834 per square metre.
damian.fantato@ft.com
