While annual prices rose 3.2 per cent across the UK in August it rose 14 per cent, 13.7 per cent, and 11.9 per cent in local authorities Monmouthshire, Newport, and Torfaen, respectively.
Online estate agents HouseSimple.com has analysed Land Registry property figures and says this above average house price rise is due to last year’s decision to remove the Severn Bridge toll.
Currently cars need to pay £5.60 to cross the bridge which links South West England and the Welsh county of Monmouthshire.
Local authorities Monmouthshire, Newport, and Torfaen, are the three closest to the bridge on the Welsh side. HouseSimple.com notes for the three closest local authorities on the England side house prices have increased far less, 3.1 per cent on average, over the last year.
HouseSimple.com says South Wales has some very good value properties; in the three Welsh local authorities noted above the average house price is £161,948 while in the three local authorities across the bridge in England the average house price is almost twice as much at £300,946.
HouseSimple.com chief executive, Sam Mitchell says a barrier to business in South Wales has lifted:
“The toll was always a massive barrier to attracting businesses and commuters across the bridge into Wales. It was a gravy train for the government but a car crash for the local economy. Lifting the charge will lift a huge black cloud that has been hanging over the south east of Wales, which is set to benefit more than any other area.
“The impact of the announcement back in the summer of 2017 was immediate, as local property markets saw a boost in demand. From December this year, there will be obvious economic benefits to businesses and commuters relocating to this area of Wales, and local housing markets have been stirred into life.”