Dubai is moving up the list of most popular destinations for Britons buying property abroad, according to an overseas property report.

Spain remains top of the ranking, with France coming a close second, said the study by Conti Financial Services, released yesterday.

But the gap is narrowing and new markets such as Dubai and Cape Verde are stealing a march on their hot spot rivals. The report, based on an analysis of the number of enquiries received by Conti so far this year, shows that although Spain and France together account for one in three enquiries (29 per cent), interest in both countries has declined slightly since last year. Dubai is creeping up the table, moving from ninth to seventh place, with a one per cent increase in enquiries. Simon Conn, Sales and Marketing Director at Conti Financial Services, said: "Low interest rates and the introduction of new property ownership laws are enabling the property market in Dubai to thrive and this is reflected in the levels of interest it's experiencing.

"Spain and France are still leading the pack, albeit with a narrowing margin, and it's not difficult to see why."

The Number

29% Percentage of enquiries at Conti Financial Services for property in Spain and France.