House prices surged by more than 10% year-on-year in London last month, according to latest official figures.

It highlights the increasing gulf between values in the south-east of England and the rest of the UK.

While Scotland is not included in the latest snapshot, recent surveys have shown more modest gains north of the Border.

A recent survey by Royal Institution of Chartered Surveyors suggested prices were increasing in Scotland because of a lack of supply.

The upturn in the housing market is said to have boosted consumer confidence, but there have also been fears that people are being encouraged to stretch themselves too far financially to meet rising prices.

The Land Registry figures for England and Wales show house prices rose by 3.2% year-on-year to reach £165,411 on average. Prices rose by 0.1% month-on-month in November, but the nationwide figures masked the continued patchy state of the market.

The North East of England was the only region to see prices drop year-on-year, with the typical house price now standing at £96,227. On average, a property in the North East is now worth less than one-quarter of one in London.

Prices in London rose by 10.6% annually to reach £396,646 on average as the housing market revival continued to show itself strongly in the English capital. London also saw the biggest monthly price rise, with an 1.8% increase.

The South East saw the second largest annual jump in house prices, with a 3.5% increase taking typical values to £216,618.