House prices are growing more quickly in the south-east and East Anglia than in London.

This morning’s LSL/Acadata house price index says that it is the first time in four and a half years that London’s house price growth does not lead the regions.

However, the index covers April which saw a slowdown before the election.

Sales in the first quarter of this year were down 10% in the run-up to the election, and data from another LSL source – e.surv – suggests the number of house purchase mortgage approvals in April was down by almost 2% annually.

According to Acadata, the average house price across England and Wales is now at a new high of £275,961.

In the south-east, annual house price inflation stood at 7.1% last month, and in East Anglia 6.9%. London’s annual house price inflation is put at 6.8%.

Peter Williams, Acadata analyst, said: “We don’t know at this stage if the decline in London’s dominant position will be reversed now that the results of the general election are known.

The uncertainty factor of the election itself and the threat of a Mansion Tax have been removed and should strengthen the London market.

“However, the Chancellor’s 12% SDLT rate on properties costing in excess of £1.5m remains in place. This may be one of the main causes of the current slowdown in property sales in prime central London.

“All the evidence suggests that generally, confidence in the housing market will increase, so a more buoyant market across England and Wales is likely.”