Tsai I-C. Spillover effect between the regional and the national housing markets in the UK, Regional Studies. This study uses regional and national data from the UK housing market to analyse the spillovers between these markets and to test whether a ripple effect exists in UK housing prices. Cross-market return spillovers are determined by performing spillover indices. An analysis of the direction and magnitude of return spillovers can be used to discriminate the transmission mechanism of information between the regional and the national housing markets over different areas and different time spans. Empirical findings indicate that the difference in housing prices between the northern and southern regions of the UK will increase each time a new financial crisis occurs.