London also experienced the highest annual increase in property value with a movement of 12%, while the North East saw the lowest annual price growth of 0.1%.
January saw an overall monthly price increase of 1.3%, with an average house price in England & Wales of £179,492 compared with a peak of £181,101 in November 2007.
The January data for London shows a monthly decrease of 0.2%. However at 12.0%, the annual change for London is considerably higher than other regions.
The North West experienced the greatest monthly price rise with a movement of 2.6%, while Yorkshire & The Humber saw the largest monthly decrease with a fall of 1.5%.
The number of property transactions has increased over the last year. From August 2013 to November 2013 there was an average of 77,694 sales per month. In the same months a year later, the figure was 79,549.
However the number of properties sold for over £1 million suffered a drop in all regions in 2014.
The number of homes sold in England and Wales for over £1 million in November 2014 decreased by 18% to 869 from 1,060 in November 2013, while the number of properties sold in London for over £1 million in November 2014 decreased by 24% to 544 from 714 in November 2013.
