Scotlands housing market is set to lead the way again in 2006.

Scottish property prices are set to rise at twice the rate for the UK as a whole, according to both the Halifax and Bank of Scotland.

Martin Ellis, chief economist at Bank of Scotland, predicts that Scottish house prices will rise by 7% in 2006, compared with 3% across the UK.

Ellis comments: "2005 was Scotlands Year of Housing, with nine of the 20 towns in the UK delivering the biggest price increases located north of the Border. This trend is expected to continue into 2006. Despite the recent increases, Scotland remains the most affordable part of the UK."