House prices in the West Midlands have risen by 0.3 per cent over the last year, with the average cost now £146,109, it was revealed today.

Nine out of 13 regions in the UK recorded a house price rise over 2011, with the annual increase across the UK a “surprisingly resilient” 1.1 per cent.

It means the price of a typical home is now £163,822, despite a 0.2 per cent month-on-month fall in December.

Nationwide said that despite the encouraging figures in the face of high unemployment and “anaemic” economic growth, demand and supply remain weak, with mortgage approvals standing at around half their long-term levels.