DUNDEE HOUSE prices have shot up faster over the last year than almost anywhere else in Scotland, according to a quarterly property review published today.

The survey shows that average prices in the city leapt by 27% to £133,805, an increase of just over £28,000.

The Bank of Scotland statistics also reveal that Lochgelly in Fife is the cheapest place in Britain to buy a house, being the only location where the average price remains below £100,000 (£93,529).

The report says the annual rate of house inflation in Scotland is now 14.5%, well above the UK average of 8%, although the country remains the cheapest place in the UK for housing.

Kilmarnock (35%), Oban (32%) and Dalkeith (28%) recorded the largest increases but Dundee was not far behind.

Edinburgh has regained its crown as the most expensive place to buy a house, with prices up 9% over the year to an average of £193,815, overtaking Dalkeith at £188,086.