MASSIVE house price increases in East Lancashire are forcing local people away from the area, estate agents have warned.

A new report has named Blackburn, Clitheroe and Nelson among the towns with the highest house-price growth in the past year.

The survey completed by Halifax Estate Agents reports that prices in Clitheroe have risen by 33 per cent from an average of £178,351 to £237,619.

In Blackburn prices have risen by 22 per cent, from £113,936 to £138,667, while in Nelson prices have risen by 26 per cent, from £82,073 to £103,465.

The trend for steep house price rises has been reflected across East Lancashire and fears have been raised that areas are becoming unaffordable for local people.

One estate agent warned many people in the area, who are already struggling to get on the property ladder, could lose out if prices continue to rise quicker than wages.

Figures show that the average house price in East Lancashire, excluding the Ribble Valley, is £91,873 - almost five times more than the average wage of £19,687.

The average in the Ribble Valley is £197,057, 6.9 times the average wage in the borough of £28,716.

Most mortgages are offered at three and a half times a salary, making most properties out of reach for single first-time buyers.

And the situation is expected to get worse.

East Lancashire estate agent Jonathan Swinn, owner of Buy The-House, which has branches throughout the region, said it was tough for first-time buyers in the area.

He said: "Your heart goes out to them. If you look back on house prices three or four years ago, the average price for a terraced house in East Lancashire was about £30,000.

"It is now up to £80,000. The M65 has made a difference and the area has great access to major cities like Manchester."

In Clitheroe, the borough council has launched a grant scheme worth up to 15 per cent of a home's value to help local people afford properties in the area.

When the property is re-sold 15 per cent of the sale price is repaid.

Shaun Bolton, 25, has benefited from the scheme and bought a place in his home village of Ribchester, where prices are high.

He said: "The prices here are really hard to afford and forcing people to look elsewhere."

Rachel Sellers, 33, bought a flat near Clitheroe with the assistance of the council.

She said: "I absolutely couldn't have done it without help.

"House prices just don't reflect the wages in this area."

Despite the high prices, two towns were named as among the most affordable in the country.

Nelson was named third and Accrington was 41st, with average prices there now reaching £124,820.