Seaside towns are defying the credit crunch with rising property prices, a survey has revealed.

Shoreham and Peacehaven have both been named in a top ten of seaside property hot spots.

In Shoreham - where there has been much development - prices rose by 15% last year, from an average of £218,196 to £250,363.

Similar rises were seen along the coast in Peacehaven, where prices increased by 14%, from £188,758 to £214,741.

The survey was carried out by Halifax into all coastal towns in England and Wales.

Experts say the findings confirm much of coastal Britain has shaken off its bucket-and-spade image and become desirable locations.

Experts believe the market for coastal properties will remain strong.

Gordon Edwards, managing director of Halifax, said: "Properties in quite a few seaside towns have more than doubled in price over the past five years.

"While they are not immune to wider market developments, there will continue to be a premium for coastal properties as people will always like to live by the seaside."

Thousands of homes are due to be built in Shoreham over the next few years in schemes similar to the town's Ropetackle development.

The South East England Development Agency and Shoreham Port want to build up to 10,000 homes at Shoreham Harbour and create thousands of jobs and businesses.

West Sussex county councillor Clive Williams, who represents Shoreham and has lived in the town for 40 years, said: "I am surprised at the figures.

However, it is clear the regeneration of Shoreham is continuing at pace and prices have generally been favourable to Brighton and Hove, which is congested.

"Shoreham appears to me a more relaxed place to live and still has Brighton just down the road for leisure."

Meanwhile in Peacehaven more than 300 homes are being built by Bovis, alongside other developments including a new doctor's surgery in the Meridian Centre.

John Livings, leader of Peacehaven Town Council, said the spectre of "Poohaven" had clearly not put people off moving to the town.

Southern Water has submitted a second application for a £200 million sewage works at Lower Hoddern Farm after campaigners successfully fought against the first proposal.

Councillor Livings said: "The reason for such a rise must be down to a ripple effect because house prices went up so dramatically in Brighton and Hove.

"We have new homes being built and the infrastructure is already here.

Young people can buy a bungalow that are so well-built that loft conversions are fairly cheap.

"The town has the lowest crime rate in the county and excellent school facilities.

Poohaven is a major issue but we are fighting against that.

"Everything is moving forward in the town. We have things coming through that make people want to live here."