Politicians “worried” after house prices rise £100,000 in one year

Politicians in one of the most exclusive property enclaves are complaining after average house prices have risen around £100,000 in just 12 months.

The latest house price index for the Channel Island of Jersey shows the average cost of a home at £629,000 compared to £574,000 three months ago and £532,000 12 months earlier.

A Jersey home now costs, on average, 2.5 times more than in the UK and almost £200,000 higher than on the neighbouring Channel Island of Guernsey. During the second quarter of 2021, the UK national average went from £253,000 to £257,000, with London now standing at £504,000.

The average cost of a two-bedroom flat on Jersey is now £494,000 while three- and four-bedroom homes are £806,000 and £1,277,000 respectively.

The Jersey Evening Post newspaper quotes Deputy Graham Truscott – a politician who sits on the Environment, Housing and Infrastructure Scrutiny Panel – saying: “It is concerning and house prices have been historically high in Jersey when compared to other areas of the world. It could have a negative impact, not just on the younger generation, but in attracting people we need to the Island – doctors, for example, as they might now be looking at a house costing over £1 million.

“It’s certainly going to have a knock-on effect across the population. We have got to knuckle down and build more.”

The same report says advertised rental prices in Jersey rose by nine per cent in the last three months, taking them four per cent above the corresponding period of 2020.

You can see the full report here.