London is home to over a third of Britain’s gross property value, with the capital’s homes currently worth a total of £1.5tn, according to the latest research from specialist London estate agents Stirling Ackroyd. This compares to London accounting for 22% of Britain’s GDP and 12.5% of the population.

The value of every home across the rest of England is around 50% more valuable than London property, totalling £2.24trn as of 2014. However, by 2017 the firm expects London homes to be worth a total of £2.1trn, closing the gap with the rest of England and making up 40% of all residential property value in Britain.

By contrast, in 1987 London homes were worth a total of just £273bn, or 27% of all property wealth. But today, property in three East End boroughs is worth more than all the homes in Wales. Hackney, Tower Hamlets and Southwark together have homes worth £170bn, 5% more than Wales’ £162bn in residential property.

Andrew Bridges, managing director of Stirling Ackroyd, comments: “This is both a success story and a call to action. London is enormously valuable, but it is also a prime field of opportunity for developers. We expect a growing wave of new homes in the capital in coming years and under the right conditions, development could help to ease supply.”