Housing values soaring

THE value of Britain's housing stock reached £3 trillion in 2003, double the value of five years ago, says Halifax bank.

A study found nearly 40% of the UK's housing assets were concentrated in the South East and Greater London - up from around 33% 10 years ago. But the number of homes in those regions only make up 26% of the total.

But Tim Crawford, Halifax group economist, said: 'While in the late Nineties most of the increase in the value of the housing stock was in the South East, it's important to realise that in recent years northern England, Wales and Scotland have also seen substantial increases in the value of their housing stocks.'

The Halifax study also found that property values had grown 170% in the last decade, easily outpacing a 28% rise in inflation - and that families are stretching themselves further to pay for it.

The value of homes was equivalent to 3.2 times total household debt last year. Five years ago and also ten years ago the ratio was 2.7 times. But lender Halifax insisted household debt is still 'in good shape'