A UK area that was once the ‘iron capital of the world’ is attracting property investors from across the country.
Just 23 miles north of sits Merthyr Tydfil – which was the first true iron town in the world.
The once prosperous town was the source of 40% of Britain’s iron exports during the 1820s and even exported iron rails to railways in and South America.
However, recent history has not been kind to the historic town. The decline of the sprawling ironworks forced the area into a social and economic decline.
Brighter times may be on the horizon as Merthyr Tydfil, commonly known as Merthyr, moves on from a past of heavy industry to being a property hotspot.
This is because Merthyr has been identified as an area where house prices are increasing the most in the UK, prices having climbed on average 7.3%, according to Rightmove. This is a jump from £171,007 in 2023 to £183,550.
Kealy struggled to find a house within budget (Image: Rowan Griffiths)
House prices in Merthyr Tydfil have climbed on average 7.3% in a year (Image: Rowan Griffiths)
Express.co.uk took to the streets of Merthyr to try to understand why property prices are shooting up.
Upon walking into the buzzing Haystack cafe it is immediately clear that this is a place where people in the area flock to enjoy good food and a good natter.
Despite it being a rainy Wednesday afternoon the cafe was buzzing with laughter and chatter, creating an immediate warm atmosphere.
Interestingly general manager Kealy Stewart notes that “only 6% of their customers are Merthyr-based” with a lot coming from Cardiff and Swansea.
Kealy and her fiance recently bought a house in the sought after area of Heolgerrig in Merthyr. Thanks to the area’s rising house prices the couple were forced to up their budget from £180k to over £200k.
She said: “My fiance and I struggled to find something within our budget.
“Some of the houses are not worth what they are being put up for. We looked at a new build in the process of being built. You are looking at a double the budget.
Merthyr Tydfil town centre (Image: Rowan Griffiths)
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Fernando Freitas is concerned rising property prices will cause more homelessness (Image: Rowan Griffiths)
“We went above £200k, new builds for two beds are starting at £320k. People are coming from outside areas to buy the new affluent houses.
“We are a main travel link to Cardiff, you see them all at the train station waiting to commute into the city.
The general manager is concerned that rising house prices will be unachievable for locals. “Residents are struggling to get jobs, people here don’t have £40k sitting in their bank here to buy those houses”, says Kealy.
She continues: “Merthyr is not up with the cities for wages and job opportunities. “The town itself is forgotten about. Homelessness is a problem here and the derelict buildings may put people off.
“However, it has been bustling here throughout January and there are some really good schools here so getting a good education is not an issue.”
There are strings of derelict buildings in the town centre (Image: Rowan Griffiths)
Fernando Freitas, owner of The Portugalles, shares concern that rising prices will cause more homelessness.
He says: “There will be more homeless people as they won’t be able to afford the houses because they don’t earn enough money.
“Here is somewhere everyone comes, we hold small parties and it is nice to see the locals coming together.”
The rising house prices are preventing people like Diana Pais, supervisor at The Crown Inn and a University of South Wales student, from getting on the property ladder.
Greeting me with a welcoming smile as soon as I stepped foot in the homely pub, the student expressed that jobs in Merthyr itself are not well paid.
“People like me will struggle to buy here now. I don’t see myself moving out anytime soon. The majority of jobs here are minimum wage”, says Diana.
‘People like me will struggle to buy here now’, says Diana (Image: Rowan Griffiths)
Diana added that money has been invested into the town and there is “plenty to do” with the area having a “friendly social atmosphere”.
This is something Councillor Geraint Thomas, leader of the opposition, agrees with.
As we sit in the Anchor Inn, a specialty coffee shop by day and a local watering hole by night, it is easy to see why this may be the case. Hums of friendly hellos and how are you’s fill the air and it is evident that there is a real community aspect to the town.
Whilst sipping a coffee Geraint says: “Most people who come in here I know who they are. In some of the cities that are gone and you don’t know who your neighbours are. It is a different way of life.
“You can see a change that more people are coming here and I hope that when they do come to Merthyr that they get involved in our society and our cultural roots. It would be a tragedy if we lost that.
Councillor Geraint Thomas believes people are attracted to Merthyr Tydfil’s community aspect (Image: Rowan Griffiths)
“Airbnbs are going through the roof here, I think we have more airbnbs than anywhere. When people come to them they use the local businesses and have meals out.”
The councillor notes that Merthyr is “lacking in affordable housing”. “We have the highest council tax in Wales and we are lacking in both affordable and affluent housing, says Geraint.
He adds: “We need better paid jobs. There are plans for another college campus which would hopefully bring another 500 students into the town centre and create jobs.
“The retail parks, such as Cyfarthfa Shopping Park, gobble up the town centre trade. We need people to spend more on the high street.”
This is something that Elizabeth Bedford, BID manager, is striving to do. Elizabeth beams as she embraces Geraint in the Anchor Inn making it clear that the pair just want want what’s best for their town.
BID, a business-led and business-funded organisation, aims to improve Merthyr Tydfil town centre.
Elizabeth strives to promote Merthyr (Image: Rowan Griffiths)
The BID aims to improve Merthyr Tydfil town centre (Image: Rowan Griffiths)
In just the five years Elizabeth has hekped attract thousands to the town centre through events such as the hugely popular Chilli & Chocolate Festival and the mouth-watering Merthyr Food Festival.
And now Elizabeth has her sights set on creating an app to encourage people to spend in Merthyr Tydfil Town Centre.
She says: “We have an event on March 1 to promote the ‘We Love Merthyr app – a loyalty scheme. I want it to become a one stop shop for people coming to the town.
“For some of our bigger events we have people coming from a 25 mile radius. I can tell when walking around Chilli & Chocolate Festival that people came here that are not from here.
“Everything we do is to get people into the town. We launched the gift card which can only be spent in our town centre. Retail parks don’t do any favours, they’re hugely popular. And they have free parking and there is no free parking in the town centre.”
‘We are hardworking, proud people’, says Elizabeth Bedford (Image: Rowan Griffiths)
She believes people are realising what “a good investment Merthyr is”.
“We’ve got such beauty on our doorstop like Cyfarthfa Castle, we’re on the edge of the Brecon Beacons, and within 45 minutes you could be at the beach”, says Elizabeth.
Elizabeth adds: “We are hardworking, proud people. There are masses of good but we do have anti-social behaviour problems – this is no different to the cities, it’s just more condensed here and is looked at more.”
The area’s pride cannot be overlooked – one of the first things I noticed upon arriving in the town centre was a huge iron heart which is around four metres tall and designed by artist David Appleyard.
The leaning heart depicts that although Merthyr Tydfil’s heart could have been broken in the past it remains propped-up by the town’s sense of pride.