Thriving work hubs boost prices
Property prices in the top 20 areas with the largest employment gains (26% on average) rose by 45% (£103,785), more than double the UK average of 21%.
Booming areas include Cambridge, Manchester, Fermanagh in Northern Ireland, Norwich and Watford.
In London’s Tower Hamlets employment has increased by 50% and prices have risen by 83%, while Lambeth, Hackney, Islington Hounslow, Waltham Forest, Haringey and Southwark also scored highly in terms of employment from the capital.
In terms of 10-year house price increases Scotland’s Shetland Islands leads the way (119%) while Aberdeen (101%) and Dundee (75%) also scored highly.
Martin Ellis, housing economist at Halifax, said: “There is a clear relationship between employment patterns and house price performance over the past decade.
“Top performing areas for employment have generally seen well above average house price gains while the worst performing employment areas have typically recorded much more modest property house price rises.
“This demonstrates the importance of economic conditions to the health of the local housing market.”
The 20 areas experiencing the worst employment performance (an average 11% drop) have seen property values increase by less than £20,000 over the decade.
Areas in that category include the North West’s Rossendale, Burnley, Hyndburn, Rochdale and Ribble Valley, while also on the list were Hinckley and Bosworth and Wellingborough in the East Midlands.
Craven in Yorkshire, where employment has fallen by 8% over the decade, saw the greatest decline in house prices at 10%.