A DAMNING government report has said fracking could cause house prices to plummet and create significant environmental risks.

The new revelations were published by the Department for Environment, Food and Rural Affairs (Defra) on Wednesday following a Freedom of Information battle.

In an official assessment of the impact of fracking, Defra warned that houses within a mile of wells were likely to fall in value by up to 7%.

It also warned that properties within a one-to-five-mile radius of fracking sites may incur additional insurance costs and leakage of waste fluids could affect human health through polluted water or the consumption of contaminated agricultural products.

The report was first published last year in censored form under Freedom of Information rules. But two weeks ago the information commissioner’s office ruled that Defra must release the report in full.

It comes just days after Lancashire County Council rejected an application to frack from energy firm Cuadrilla – the same company that targeted the village of Balcome.

Friends of the Earth energy campaigner Tony Bosworth said: “No wonder Defra sat on this explosive report until after the Lancashire decisions.

“Instead of hiding information and trying to force through fracking, the UK government should follow the lead of Wales and Scotland and put fracking on hold.”

Caroline Lucas, Green MP for Brighton Pavilion and anti-fracking campaigner, said the government had acted “appallingly” in holding back “crucial evidence”.

She added: “The environment secretary should now offer a full apology to communities facing the threat of fracking and guarantee that such deceitful behaviour won’t happen again in the future.”