Home buyers in England continue to be drawn to the lifestyle offered by the country''s market towns, according to a new report.

The study by Halifax revealed that two-thirds of market towns – those with a population between 3,000 and 30,000 - have higher average house prices than other towns within the area.

Basing its research on towns listed by the Campaign to Protect Rural England, the firm discovered that in the last five years more than half have experienced house price growth above the average rate for England.

Beaconsfield, Buckingham, with its average house price of £704,724, was found to be the most expensive market town, while a further 18 towns have seen average prices exceed £300,000.

Commenting on the findings, Martin Ellis, chief economist at Halifax, said: "Home buyers continue to be attracted to the high quality of life, architecture, history, setting and community spirit offered by market towns and are prepared to pay a premium to live there."

In its house price index for June, Halifax reported that the average house price in the UK stood at £180,344.