“Property unaffordable for 100,000 households a year in England”

“Almost 100,000 households in England are being priced out of the property market each year because of a shortage of affordable homes to rent or buy, according to a report. …

… About 96,000 households are unable to afford homes at the market rate, either to buy or rent, Savills said, with the vast majority in London and the south. It said varying approaches were needed to address the shortfall in different parts of the country: low-cost rented homes were needed more in markets in which incomes were smaller, while a mixture of homes, including shared ownership, would help in more expensive areas.

In London, 20% of the households affected have incomes above £35,000, Savills said, while the same proportion earn less than £10,000.

Over the past three years, 55,000 fewer affordable homes have been built each year than were needed, the research found. Although 42,500 households in the capital required below market rate housing, only 8,800 affordable homes a year had been delivered. In the south outside London, 15,500 affordable homes a year were being built while 34,100 were needed.

Meanwhile, in the north of England, low incomes were locking out 9,600 households a year, with 8,900 homes being delivered.

A speech by the prime minister, Theresa May, at the Conservative party conference in October made a commitment of £2bn over four years to fund social housing. However, to house 100,000 emerging households over this period would need funding of £7bn a year, Savills said.

Paying for the new homes would reduce the housing benefit bill by £430m a year. …”

https://www.theguardian.com/business/2017/nov/27/property-england-priced-out-households-affordable-homes-savills-report

One thought on ““Property unaffordable for 100,000 households a year in England”

  1. It’s time for the Conservative Government to recognise that they are supposed to be working for us, the people, not their ultra-rich special-interest friends and Party donors (or sponsors or investors as I call them – if you are a billionaire, a donation to the Conservative Party is the BEST INVESTMENT YOU CAN EVER MAKE with a return on investment at least 20x greater than you could get anywhere else).

    That responsibility includes ensuring that we (the ordinary people) of the UK have:

    Good health and social care services and a healthy environment
    Affordable housing, heating and food
    A good education for our youngsters
    Safety from criminals, foreign powers and terrorists
    A democracy where policies are transparent and politicians are accountable to the public

    The current government is failing on all of these. They say that we cannot afford them and have to live within our means (which I accept in principle), but then they:

    Spend £10bn – £30bn a year on dogma-driven NHS “market” administration – yes, that is not a typo – if we didn’t try to have a health market (which is really about privatisation) there would easily be enough money for the NHS.

    Try to push through making all schools Academy Schools without it being in their manifesto, without any debate and without being clear that Academy Schools = Privatisation of the education system.

    Spend £bns on HS2 – if we can’t afford health care or education, we can’t afford HS2 – simples!

    Play favourites with councils in marginal constituencies or who threaten to embarrass the government with 15% council tax rises.

    Create postcode lotteries on Social Care by pushing the funding onto Council Tax – which also transfers the cost from the rich (living in e.g. Kensington & Chelsea with very low social care costs) to the less well off (e.g. Liverpool which has a big social care need and a much lower social demographic).

    The Conservatives are not practicing austerity – they are undertaking social engineering, and creating a gap between the ultra-rich and the rest of us that has not been seen since feudal times.

    As for their housing policies, the law of supply and demand means that subsidising home-buyers is equivalent to using tax income to boost profits of big developers (who are the same people / companies that make big donations to the Conservative Party – see what I mean about it being a great investment) – instead of regulating the developers to ensure that the big-6 do not abuse a dominant market position by land-banking and restricting the availability of development land for smaller developers.

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