Europe

House price gains 'only in Dublin'

House prices in the Republic of Ireland are continuing to improve slowly, but gains are only really being seen in Dublin.

Figures released by the Central Statistics Office (CSO) show that in July, prices were 2.3% higher than the same time last year.

In Dublin, prices were 8% higher than a year ago.

However, in the rest of the country, outside Dublin, they actually fell by 0.1% over the year.

Residential property prices in Dublin are now 54% lower than at their highest level in February 2007.

The overall drop in the price of residential properties in the rest of Ireland is lower at 48%.

The Republic of Ireland has a major, and still largely unresolved, mortgage arrears problem which could cause further difficulties for the country's banks.