Doncaster house prices outpace Yorkshire and Humber average

Figures from the Office for National Statistics show the average Doncaster house price in the year to November was £177,995 – a 1.4 per cent increase on October.

It was higher the average across Yorkshire and the Humber, where prices increased by 0.8 per cent.

The rise in Doncaster contributes to the longer-term trend in the area, which has seen property prices in the area grow by 6.7 per cent over the last year.

It means the area ranked third among Yorkshire and the Humber’s 15 local authorities for annual growth, with the average price in Doncaster rising by £11,000 over the past year.

The highest annual growth in Yorkshire and the Humber was in North East Lincolnshire, where property prices increased on average by 8.2 per cent.

At the other end of the scale, properties in Barnsley gained 1.9 per cent in value.

Across the UK, average house prices in November fell slightly on the month before, but have accelerated by 3.3 per cent over the past year.

Separate figures from the ONS show the Consumer Prices Index (CPI) inflation fell to 2.5 per cent in December, down from 2.6 per cent the previous month.

David Hollingworth, associate director at L&C Mortgages, said: "The surprise dip in inflation is some positive news for borrowers who will have been unsettled by the recent unrest in the gilt markets and what it may mean for mortgage rates.

"Although there may still be increases to come in the months ahead, the fall in inflation will firm up the hopes that the Bank of England will cut the base rate in February."

Mr Hollingworth said the market is unsure the Bank of England will cut rates as far and as quickly as had previously been expected, adding the uncertainty has "seen fixed rates edging higher before the end of the year, something that’s continued into the new year.

"This will have added an unwelcome dollop of uncertainty for borrowers that had been hoping for continued improvement in mortgage rates.

"The base rate is still expected to fall but the question is whether that drop will now be shallower and more gradual.

"Today’s figures will help to maintain some stability in mortgage rates but those borrowers coming to the end of their current deal are still likely to want to secure a new rate a few months ahead of time.

"That will allow them to dodge any further increases if fixed rates continue to rise but still gives them room to review if things take a turn for the better."