8:54 AM, 15th July 2016, About 5 years ago 5
The House of Lords Economic Affairs Committee has today released a report titled “Building more homes.”
The report strongly recommends that the housing crisis must be tackled and that the Government should increase its home building target by 50% to 300,000 new homes each year.
Local authorities and housing associations must also be freed to build many more homes for rent and for sale.
Lord Hollick, Chairman of the Committee, said:
“We are facing an acute housing crisis with home ownership–and increasingly renting–being simply unaffordable for a great many people.
“The only way to address this is to increase supply. The country needs to build 300,000 homes a year for the foreseeable future. The private sector alone cannot deliver that. It has neither the ability nor motivation to do so. We need local government and housing associations to get back into the business of building.
“Local authorities are keen to meet this challenge but they do not have the funds or the ability to borrow to embark on a major programme to build new social homes. It makes no sense that a local authority is free to borrow to build a swimming pool but cannot do the same to build homes.
“The Government are too focussed on home ownership which will never be achievable for a great many people and in some areas it will be out of reach even for those on average incomes. Government policy to tackle the crisis must be broadened out to help people who would benefit from good quality, secure rented homes. It is very concerning that changes to stamp duty for landlords and cuts to social rent could reduce the availability of homes for rent. The long term trend away from subsidising tenancies to subsidising home buyers hits the poorest hardest and should be reversed.
“If the housing crisis is to be tackled the Government must allow local authorities to borrow to build and accelerate building on surplus public land.”
Key findings of the report:
The Report Conclusions:
To see the full report please Click Here
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