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Bristol, Bath and Swindon will drive 27 per cent growth in South West economy over next 10 years

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Written by: Gavin Thompson | Posted 07 August 2015 12:48

Bristol, Bath and Swindon will drive 27 per cent growth in South West economy over next 10 years
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Bristol, Bath and Swindon will lead the way as the South West’s economy grows 27 per cent over the next decade.

The figure comes from British Living, a report complied by property firm CBRE looking at key indicators such as house prices, wages and population in towns and cities up and down the country.

Guy Mansfield, head of national land and development at CBRE in Bristol, said: “This report makes for some very encouraging reading when it comes to the state of the economy in the major population centres in the South West.

“There is no doubt that we have every reason to feel positive about the future and we are looking at major economic growth combined with a healthy property market for many years to come.

“As major infrastructure improvements take place across the UK, the Government’s vision of connecting Britain’s towns and cities is already showing fruition.

“However, our research does highlight the need to build more homes, as the supply and demand imbalance remains more significant than ever.”

Bristol

Bristol is identified as one of the fastest growing and most affluent cities in the UK, with good quality of life, a young and aspirational population and high employment rates key reasons for its economic success.

The city’s economy is expected to grow faster than the national average, with forecast GDP growth of 32 per cent over the next decade.

The average house costs £248,287 and with a relatively young population there is a higher than average number of people renting.

As a result, the average rent for a two bed property has increased by seven per cent over the last year (close to double the national average of four per cent) and currently stands at £886 per month.

Bath

Bath has always been an affluent city, with low unemployment rates and average earnings of £41,955, which is 14 per cent higher than the national average.

The city’s property market is dominated by homeowners, with just 17 per cent of properties occupied by rent payers.

As a result, average house prices in the Georgian city are around 50 per cent higher than the national and regional average at £368,108, having grown by nine per cent over the last year and 43 per cent over the last decade.

Exeter

The housing market in Exeter has struggled in recent years but there are signs of the recovery starting to take a firmer grip.

Benefiting from £70 million in regeneration, the city enjoyed 16 per cent house price growth over the last year alone, double that of the regional and national average of eight per cent.

The average home costs £261,869 and this is expected to grow by 27 per cent over the next ten years.

Exeter has also been identified as one of the top ten most profitable places to have a business, with major regeneration projects worth £70 million in the pipeline.

Swindon

Swindon’s economy is one of the strongest in the region thanks to the presence of a number of major firms including Honda, BMW and Nationwide.

With £750 million to be pumped into the town, there are high hopes of economic growth of around 30 per cent over the next decade.

House prices are relatively affordable, with the average of £187,658 nearly a third lower than the national average, while average rental values have increased 11 per cent over the last year alone.

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