The Halifax has produced analysis of house prices in the best and worst performing economic locations in the last five years since 2007.

Martin Ellis, housing economist at Halifax, said: "The marked differences in local economic performance across the UK appear to have had a significant impact on the housing market over the past decade. House price growth has generally been stronger in the areas that have seen the biggest increases in economic activity. The best performing areas have also been the most resilient in terms of house prices during the downturn since 2007.

"Looking forward, the pace at which the UK economy recovers will be a key determinant of the outlook for the UK housing market. Similarly, those areas that perform best in economic terms are likely to fare best in terms of house price movements."

House prices in the 10 Areas with the best performance in economic activity – indicated by the smallest increased in the claimant count – from April 2007-2012

Local Area


Region


Percentage Point (PPT) change in claimant count, 07-12


Average house price £, 2007*


Average house price £, 2012*


House Price

0% Change 2007-12

Inner London - West


London


0.6


530,034


491,391


-7%

Cornwall and Isles of Scilly


South West


0.7


227,557


182,379


-20%

Warwickshire


West Midlands


0.7


218,591


173,663


-21%

Oxfordshire


South East


0.8


303,306


250,291


-17%

Brighton and Hove


South East


0.8


255,607


259,184


1%

Surrey


South East


0.9


329,964


310,668


-6%

Dorset CC


South West


0.9


259,455


228,359


-12%

Gwynedd


Wales


0.9


144,192


127,750


-11%

Buckinghamshire CC


South East


1.0


347,145


278,425


-20%

Hampshire CC


South East


1.0


242,094


203,920


-16%

Average


0.8


285,794


250,603


-12%



House prices in the 10 Areas with lowest growth rates in economic activity per person between 1999-2009 Local Area


Region


Economic Activity (GVA) % Change 99-09


Average house price £, 1999*


Average house price £, 2009*


House Price % Change 1999-2009


House Price % Change 2009 -2012

Thurrock


East of England


15%


77,965


180,609


132%


-4%

Coventry


West Midlands


19%


56,066


130,382


133%


-6%

York


Yorkshire and The Humber


20%


69,561


168,321


142%


7%

Powys


Wales


21%


68,316


183,897


169%


-18%

Blackpool


North West


23%


48,990


112,384


129%


-1%

Walsall and Wolverhampton


West Midlands


24%


59,994


135,360


126%


-9%

Dudley and Sandwell


West Midlands


24%


60,602


130,149


115%


-7%

Flintshire and Wrexham


Wales


25%


61,631


140,882


129%


-8%

Swindon


South West


26%


76,428


155,328


103%


-3%

South and West Derbyshire


East Midlands


27%


66,773


144,022


116%


5%

Average for Bottom 10


22%


64,633


148,133


129%


-4.4%