House prices in some of central London’s swankiest areas have started to fall, as the property slump looks set to widen and affect the top end of the housing market. Daily Telegraph

Prestigious areas such as Mayfair, Chelsea and Notting Hill were thought to be unaffected by the nationwide downturn, but with the credit squeeze, slashed City bonuses and general economic gloom, million pound houses have seen at best big corrections and at worst a slump.

A three-bedroom house in Princedale Road, Holland Park, has had £100,000 knocked off the asking price and is on offer at £1.5m by agents Marsh & Parsons. Until now Holland Park was considered to be fireproof to any property downturn.

Notting Hill agent Nick Mahony, from Nick & Co says: 'Properties between £1m and £5m have certainly fallen. We think the market has fallen by about 15% since June last year.'