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Three million new homes needed to solve housing crisis in UK

Staff Writer |
A housing charity has called for the Government to spend £214 billion on creating three million new homes to solve the social housing crisis.

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In the wake of the Grenfell disaster, Shelter brought together 16 independent commissioners from across the political spectrum to write a report on the issue.

It urges ministers to invest in a major 20-year housebuilding programme and massively extend the criteria for who is applicable for social housing.

The report recommends building 1.27 million homes for “those in greatest housing need”, including homeless households, the disabled and long-term ill, or those living in very poor conditions.

It also wants the Government to create 1.17 million homes for what it calls “trapped renters”, younger families unable to get on the housing ladder, as well as 690,000 homes for older private renters who face housing insecurity beyond retirement.

The authors of the report, who include former Labour leader Ed Miliband, ex-Tory chairman Baroness Warsi, Baroness Lawrence, mother of murdered teenager Stephen Lawrence, TV architect George Clarke and Grenfell survivor Ed Daffarn, spent a year speaking to hundreds of social tenants, more than 30,000 members of the public as well as housing experts.

Their findings suggest it would require an average yearly investment of £10.7 billion to pay for the new homes, but analysis by economic experts suggests up to two-thirds of this could be recouped through “housing benefit savings and increased tax revenue each year”.

The charity said that, on this basis, the true net additional cost to the Government would be about £3.8 billion on average per year over the 20-year period.


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