This increases the demand for owner-occupation and so, it is argued, justifies higher prices.

ECONOMIST: The higher they climb, the further they will fall

"The figures provide further evidence of the shift away from owner-occupation in favour of the rental sector, " he said.

BBC: More private than social tenants in England

But a new study by Andrew Oswald, an economist at Britain's Warwick University, suggests that a high rate of owner-occupation may not be so good for the economy.

ECONOMIST: When home is a prison

Levels of owner-occupation rose dramatically between 1981 and 1991 from 30% to 63%, and non-manual occupational groups now form nearly 60% compared to less than 50% in 1981.

BBC: NEWS | VOTE 2003

Bearsden is an affluent middle class commuter town serving Glasgow, which explains why levels of owner-occupation are so high (76.8%) and professionals and managers so numerous (44.6%) within the constituency.

BBC: NEWS | VOTE 2001 | RESULTS & CONSTITUENCIES | Strathkelvin & Bearsden

Countries with the highest levels of owner-occupation, such as Finland, Ireland and Spain, where around 80% of households own the roofs over their heads, tend to have the highest rates of unemployment (see chart).

ECONOMIST: When home is a prison

Mr Oswald finds that in many countries high levels of owner-occupation (and hence a small rental sector) are partly to blame for high rates of unemployment, on top of factors such as over-generous social-security benefits and high minimum wages.

ECONOMIST: When home is a prison

Under-occupation was much higher among owner occupiers : 49% as against 10% in the socially rented sector and 16% among private renters.

BBC: More private than social tenants in England

"Owner occupation remained the largest tenure group with 14.4 million households, comprising around two-thirds (65%) of all households, " it said.

BBC: More private than social tenants in England