House prices: Workers being priced out of tourist areas

High house prices are contributing to shortages in some work sectors, a report says

Young and low-paid workers risk being priced out of rural and coastal tourist spots by a steep rise in house prices, a report shows.

This is contributing to tourism and hospitality skills shortages, the Office for National Statistics says.

The figures show Conwy and the Vale of Glamorgan are among the most affected areas, with house prices rising at three times the UK rate there.

Conwy saw a rise of 25% in the last year and the Vale of Glamorgan 24%.

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Across the UK, only the Scottish area of Inverclyde has seen a steeper rise in prices.

The report says there is evidence of people buying homes in rural areas rather than cities because the pandemic has seen more people working remotely, and that pattern is forecast to continue.

The report also states that people who work in tourist hotspots earn less on average than the people who live there.

This rise in Conwy and Vale of Glamorgan was more than double to Wales average

And while house prices have risen during the pandemic, many people working in hospitality have seen their income reduced because of furlough or a reduction in hours.

The poorest fifth of workers were more likely (42%) than the richest fifth (31%) to see a drop in income during the pandemic.