These are the UK’s most (and least) affordable cities to live in

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  • The results may surprise you.

    Finding an affordable place to live in the UK is the ultimate mission. And with UK house prices increasing at a far faster rate than our salaries – with the average British home now costing £261,221 – it’s only getting harder.

    In many cases, factors such as location of job, family and friends will limit people to buying in certain areas. But if you’ve got a bit more freedom and simply want to find a cheap place to live in the UK, you’ll want to take a close look at Halfiax’s new index of the most – and least – affordable cities to buy in.

    After comparing each city’s average salary to its average house price in 2021, Halifax has calculated a price-to-earnings ratio, identifying where your income will go furthest. The average price-to-earnings ratio in cities across the country is 8.1, having increased from 5.6 in 2013, but there are certain areas where it’s much higher – and others where it’s far lower.

    While you might assume that London is the least affordable place to live in the UK, it’s actually Winchester in Hampshire that’s been rated as most expensive in comparison to the average salary in the area. In fact, London doesn’t even make it into the top five least affordable UK cities. On the other end of the scale, Derry in Northern Ireland has been highlighted as the most affordable city when you weigh up wage and house prices. So without further ado, here are the full lists…

    The UK’s most affordable cities to live in 2021:

    1. Derry, Northern Ireland

    Average house price: £155,917
    Average salary: £33,138
    Price-to-earnings ratio: 4.7

    The Peace Bridge and Guildhall in Londonderry / Derry in Northern Ireland

    Derry/Londonderry

    =2. Carlisle, North

    Average house price: £163,232
    Average salary: £34,087
    Price-to-earnings ratio: 4.8

    =2. Bradford, Yorkshire and the Humber

    Average house price: £164,410
    Average salary: £34,219
    Price-to-earnings ratio: 4.8

    =4. Stirling, Scotland

    Average house price: £208,927
    Average salary: £38,744
    Price-to-earnings ratio: 5.4

    =4. Aberdeen, Scotland

    Average house price: £205,199
    Average salary: £38,016
    Price-to-earnings ratio: 5.4

    Mercat Cross in Aberdeen at Night

    Aberdeen

    =4. Glasgow, Scotland

    Average house price: £196,625
    Average salary: £36,205
    Price-to-earnings ratio: 5.4

    7. Perth, Scotland

    Average house price: £203,229
    Average salary: £36,700
    Price-to-earnings ratio: 5.5

    =8. Inverness, Scotland

    Average house price: £191,840
    Average salary: £34,373
    Price-to-earnings ratio: 5.6

    =8. Hull, Yorkshire and the Humber

    Average house price: £156,424
    Average salary: £27,730
    Price-to-earnings ratio: 5.6

    Photo Taken of Hull, United Kingdom

    Hull

    10. Dundee, Scotland

    Average house price: £181,150
    Average salary: £31,344
    Price-to-earnings ratio: 5.8

    11. Sunderland, North

    Average house price: £179,567
    Average salary: £29,745
    Price-to-earnings ratio: 6.0

    12. Lisburn, Northern Ireland

    Average house price: £203,386
    Average salary: £33,138
    Price-to-earnings ratio: 6.1

    =13. Salford, North West

    Average house price: £211,903
    Average salary: £34,444
    Price-to-earnings ratio: 6.2

    =13. Durham, North

    Average house price: £196,274
    Average salary: £31,762
    Price-to-earnings ratio: 6.2

    Durham Cathedral and town

    Durham

    =13. Liverpool, North West

    Average house price: £215,741
    Average salary: £34,911
    Price-to-earnings ratio: 6.2

    =13. Belfast, Northern Ireland

    Average house price: £205,228
    Average salary: £33,138
    Price-to-earnings ratio: 6.2

    =13. Lancaster, North West

    Average house price: £217,392
    Average salary: £35,004
    Price-to-earnings ratio: 6.2

    18. Newcastle-upon-Tyne, North

    Average house price: £229,434
    Average salary: £36,212
    Price-to-earnings ratio: 6.3

    Millennium bridge at Quayside, Newcastle upon Tyne, UK

    Newcastle

    19. Stoke-on-Trent, West Midlands

    Average house price: £200,161
    Average salary: £30,698
    Price-to-earnings ratio: 6.5

    20. Hereford, West Midlands

    Average house price: £316,929
    Average salary: £48,048
    Price-to-earnings ratio: 6.6

    Hereford cathedral and city scape

    Hereford

    The UK’s least affordable cities to live in 2021:

    1. Winchester, South East

    Average house price: £630,432
    Average salary: £45,059
    Price-to-earnings ratio: 14.0

    Winchester Gothic Cathedral, England

    Winchester

    2. Oxford, South East

    Average house price: £486,928
    Average salary: £39,220
    Price-to-earnings ratio: 12.4

    =3. Truro, South West

    Average house price: £356,788
    Average salary: £29,558
    Price-to-earnings ratio: 12.1

    =3. Bath, South West

    Average house price: £476,470
    Average salary: £39,508
    Price-to-earnings ratio: 12.1

    5. Chichester, South East

    Average house price: £446,899
    Average salary: £37,352
    Price-to-earnings ratio: 10.6

    Photo Taken of Chichester, United Kingdom

    Chichester

    6. Cambridge, East Anglia

    Average house price: £482,300
    Average salary: £40,492
    Price-to-earnings ratio: 11.9

    7. Brighton and Hove, South East

    Average house price: £449,243
    Average salary: £38,737
    Price-to-earnings ratio: 11.6

    8. London, South East

    Average house price: £564,695
    Average salary: £51,257
    Price-to-earnings ratio: 11.0

    =9. St Albans, South East

    Average house price: £604,423
    Average salary: £59,391
    Price-to-earnings ratio: 10.2

    St Albans Cathedral

    St Albans

    =9. Chelmsford, South East

    Average house price: £424,690
    Average salary: £41,781
    Price-to-earnings ratio: 10.2

    11. Salisbury, South West

    Average house price: £392,355
    Average salary: £39,154
    Price-to-earnings ratio: 10.0

    12. Exeter, South West

    Average house price: £323,554
    Average salary: £32,635
    Price-to-earnings ratio: 9.9

    Exeter

    Exeter

    13. Leicester, East Midlands

    Average house price: £279,080
    Average salary: £28,725
    Price-to-earnings ratio: 9.7

    14. Norwich, East Anglia

    Average house price: £306,946
    Average salary: £32,632
    Price-to-earnings ratio: 9.4

    15. Bristol, South West

    Average house price: £346,902
    Average salary: £37,357
    Price-to-earnings ratio: 9.3

    =16. Southampton, South East

    Average house price: £310,435
    Average salary:  £34,429
    Price-to-earnings ratio: 9.0

    =16. Canterbury, South East

    Average house price: £365,168
    Average salary: £40,565
    Price-to-earnings ratio: 9.0

    Canterbury

    Canterbury

    =16. Gloucester, South West

    Average house price: £287,600
    Average salary: £31,987
    Price-to-earnings ratio: 9.0

    19. Worcester, West Midlands

    Average house price: £303,132
    Average salary: £34,389
    Price-to-earnings ratio: 8.8

    20. Cardiff, Wales

    Average house price: £276,851
    Average salary: £31,946
    Price-to-earnings ratio: 8.7

    Big Wheel, Pier head building and ferris building located in Mermaid Quay of Cardiff Bay - Cardiff, Wales, United Kingdom at Night (Big Wheel, Pier head building and ferris building located in Mermaid Quay of Cardiff Bay - Cardiff, Wales, United Kingdom

    Cardiff

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