NORTH Dorset has been named in the top ten of UK areas where house price growth has outpaced wages over the past two years.

It is ranked ninth on the list, which has been compiled by Halifax.

The proportion of homes which are "earning" more than their owners is shrinking as house price growth continues to slow, analysis has found.

The average rise in house prices over the last two years has outstripped post-tax earnings in less than one in 10 local authority districts, Halifax said.

In North Dorset figures show average house prices have increased by £58,289 in the past two years, while net average earnings in the areas over the same period are £43,158.

This gives a difference of £15,131

Top of the list is Richmond-upon-Thames, where house prices have risen by £119,075 during the past two years, while average net earnings for the same period stand at £63,592.

This means house price inflation is outpacing pay by £55,483 for those two years.

Russell Galley, managing director, Halifax, said: "The majority of areas where house price inflation outpaced owners' take-home pay are still to be found in London and the South East."