Property prices in London have doubled over the past two decades, according to a report by Zoopla.

At the same time the average property in the UK (outside London) has jumped by 74%. The property portal made its findings by checking the price of properties advertised on its website in 2005 compared to this year. 

An increase of more than £155,000 over 20 years

The data shows that the average property has risen from £113,900 to £268,200 within that time. 

Breaking down the figures further, property in the South East and East of England rose by 87%, while those in the North East of England only increased by 39%.

Property in Scotland rose by 63% over the same period and it was a similar story in Wales, with an increase of 64%. That led to average property prices of £168,000 and £206,500 respectively.

Many working people can’t afford to return home

Zoopla’s consumer expert Daniel Copley said: “Our latest analysis certainly brings to light the profound impact that two decades of house price growth has had on the dream of ‘returning home’.

 “…that nostalgic return [is] financially unattainable for many, especially in hotspots in the South East and Eastern England.

Funding to build more affordable housing

Meanwhile, the government reveals it is short of around 4.3m homes, if it is to meet need. The biggest shortages of homes are in cities, where it is more expensive to build because land is often sold at a premium.

In her recent budget, chancellor Rachel Reeves gave £39bn to housebuilders to build more affordable housing over the next decade. At the same time, she removed much of the red tape that has held building back in recent years. 

Although it is going to take time for the funding to come through and the houses themselves to be built, many in the industry are confident it will make a difference to the current housing crisis.

Former RICS chairman Jeremy Leaf said the steps taken by the chancellor so far merited a 7 out of 10 rating.