The research, which analyses the English and Welsh property markets, found house prices in the capital jumped 2.5% on the previous month and 9.6% on an annual basis.

By contrast, prices in the North East fell by 1.8% on a monthly basis and on an annual basis by 5.5%. Prices in the North West also declined.

The data offers a more optimistic picture of March than Nationwide’s house price index, which found prices had stagnated on a monthly basis.

It comes as Hometrack reported London house sales had reached a pace last seen in 2007.

Property search consultants Garrington managing director Jonathan Hopper said London prices were rising at an extraordinary rate: “The danger of overheating should not be dismissed. What the capital needs is a steady and sustained recovery, not frenzied growth.

“The national average is slowly improving, but talk of a national recovery is all but meaningless with such divergence between the regions.”

The average house price in England and Wales rose 0.9% on an annual basis to reach £161,793.

However, the number of property transactions decreased over the last year by 1,635 compared to the same period in 2011-12.

Anderson Harris director Jonathan Harris said: “On the lending front, the picture is increasingly positive.

“The extension of the Funding for Lending Scheme means mortgage rates are likely to continue to fall, making home ownership more affordable, particularly as lenders continue to offer better rates at higher loan-to-values, which means first-time buyers don’t have to drum up such a big deposit.”