Despite home repossessions falling in all regions across England and Wales, repossessions were 44% higher in the North than the South in 2013 with 78% of Northern towns registering repossessions higher than the average according to data from e.surv.

The number of court-ordered repossessions in England and Wales in 2013 in the North was 5.6 per 1,000 households compared with 3.9 repossessions per 1,000 households in the South. In comparison with 2012 when there was 6.3 repossessions per 1,000 households in the North and 4.4 in the South.

Richard Sexton, director of e.surv chartered surveyors, said: “The North is still home to the largest wedge of repossessions, despite improvements in household finances across the country. Both the North West and the North East are still paying the price of recession-driven public sector job cuts – which stimulated a glut of local repossessions. The whole country is now in recovery, but the North has the furthest to go to catch up, and is comparatively lagging behind.”

The North West, North East and Wales recorded the highest number of repossessions per 1,000 households in 2013 at 6.0, 5.9 and 5.8 respectively. The South West, which had the lowest number of repossessions per year, experienced the biggest improvement with repossessions falling 15% in 2013 to 3.1 repossessions per 1,000.

Total repossession court-orders fell 10% from 59,588 in 2012 to 53,325 in 2013 with on average 4.7 repossessions per 1,000 households in 2013, down from 5.2 in 2012.

Sexton said: “The economic recovery has truly taken hold. Rock-bottom interest rates have enabled many home-owners to pay down debts, and mortgages have become much cheaper, which has eased the pressure on household finances. Repossessions have fallen rapidly as a result. The labour market is picking up pace and real wages are expected to start growing in the next few months. That will further free up finances.

“At some point soon the Bank of England may choose to raise the base rate. A higher base rate will translate into higher repayments for many, which could tip a whole host of borrowers into the red. The base rate rise may cause repossessions to temporarily bounce back.”