NEW figures have revealed a sharp rise in the number of new homes being built in the region.

A report by the National House Building Council (NHBC) shows a 32 per cent increase in new house registrations for the North-East and Yorkshire in the third quarter of 2014, compared to the same period the previous year.

The rise was the highest in England, with the UK average being eight per cent.

NHBC says its registration statistics are a leading indicator of the health of the new homes market.

Its chief executive Mike Quinton said: “We are very encouraged to see that house building is again beginning to show signs of accelerated growth across the UK.

"Following the dramatic growth in 2013, we saw a period of consolidation in the first half of this year, but our latest data would suggest that the pace of growth is picking up again.

“Our figures show that the sharp housing upturn we have seen over the last couple of years is a genuine broad-based recovery across the whole of the country, with pockets of strong growth in the North-East, Yorkshire & Humberside and West Midlands.

"It is now increasingly apparent that housing growth is no longer London and South-East centric, with these regions beginning to show signs of cooling."

Anna Brosnan, from the National Housing Federation, which represents housing associations, said it was encouraging news that more homes were built in the North-East.

However, she added: "We need to go much further to tackle the housing crisis.

“In some parts of the North-East families are struggling to find the homes they need at prices they can afford, whereas in other areas existing homes must be improved to regenerate communities and create jobs.

“We are calling on all political parties to end the housing crisis within a generation.”

The NHBC report was published as banks revealed that the number of mortgage approvals made to home-buyers was 10 per cent lower in September compared with the same month a year earlier.

The British Bankers' Association (BBA) said the figures were further signs that the housing market was cooling.