House prices in region racing ahead of salaries, figures show
HOUSE PRICES in Yorkshire have raced ahead of wages over the last five years, new figures show.
Analysis by the Resolution Foundation think-tank shows average weekly wages in the region have grown by six per cent to £469.
But the average house price in Yorkshire has leapt by 20 per cent over the same period to £186,000.
The think-tank said there was no easy solutions to the problem but “radical action” was needed to increase supply of both homes to buy and rent.
Lindsay Judge, senior policy analyst at the Resolution Foundation, said: “Runaway house prices have had a clear feed through to living standards in recent years. Most obviously it has priced people out of home-ownership, pushing significant numbers into the private rental market.
“But rampant house prices inflation isn’t just a problem for wannabe home-owners. It has increased the stock of mortgage debt, and fuelled demand for renting that is driving up costs there too.
“Ultimately we all pay for house price inflation by spending a greater share of our incomes on housing.”
Across the UK, the average house price has risen by 36 per cent over the last five years to £292,000 while the average weekly wage has increased by seven per cent to £491 according to the Resolution Foundation.