London produced the fastest price growth in the UK over the last 12 months, with a rise of 10.9%. This compares with annual house price inflation of 4.2% across the UK, the figures confirmed.

The North East experienced the greatest monthly rise with a movement of 2.6%, but the South East topped the table of regional applications with 322,079 in January. No regions saw a price fall in January.

Campbell Robb, Shelter’s chief executive said: “As house prices continue to climb, thousands of young people and families watch their dream of a stable home edge even further out of reach, however hard they work or save.
“The government has to meet people half way by committing to bold solutions that will put the brakes on our rollercoaster housing market and give future generations the chance of a home of their own.”

The Nationwide house price index reported a price rise of 0.6% in February, earlier this week, a 9.4% increase on the same month in 2013.

This is the fourteenth successive monthly increase but the mutual said prices are still around 3% below their 2007 peak.