Housing costs exploding
As more and more households join the queue or ahome o their own, the numbers o people on local au-thority housing waiting lists have nearly doubled since1997 to around 5 million. Te lack o social housing means that increasing numbers o would-be owners areremaining in the private rental sector, causing demandto outstrip supply in many parts o the country, notleast London where over the past year rents havesoared by 7.3 per cent and will soon hit £1,000 permonth on average. Around 10 per cent o all rent isunpaid or late. Companies specialising in helping landlords to evict tenants say that evictions relating torent arrears rose by 12 per cent in 2010 compared to2009. Rising ood and energy bills, alling incomes,increased economic insecurity and the associatedreduced access to credit mean or growing numbers o people a weekly battle to keep a roo over their heads.
Repossessions and arrears
Large numbers o households can simply no longeraord their mortgage, arrears are rising and high levelso repossessions look here to stay or many years tocome.
Crisis o house building
House building was already deemed by governmentto be ‘too low’ prior to the nancial crisis, but since2006-7, house building completions in England haveslumped dramatically to their lowest levels or nearly90 years.
First-time buyers locked out
Despite a 25 per cent average all in house prices since2008, unaordability remains endemic because mostrst-time buyers cannot raise the £25,000 deposittypically needed to get a mortgage at aordable ratesin the new era o risk-ree lending.
Cuts to Housing Benet will increase Homelessnessand Rough Sleeping
More than 42,000 households are ocially homelessand 50,000 are living in ‘temporary’ accommodationand in priority need in England alone. But the ‘hiddenhomeless’ gures could be closer to hal a million be-cause, according to Crisis, “the vast majority o home-less people exist out o sight in hostels and reuges, bedand breakasts, squats, unsatisactory or overcrowdedaccommodation and on the oors or soas o riendsand amilies”.Te Coalition government’s controversial cuts toHousing Benet threaten to make this situation alot worse. An estimated 88,000 households will bebadly aected by cuts to Housing Benet and parts o London and the South East will simply become una-ordable or low-income households. Mass displace-ment is likely. Te cuts pose particular concerns or young single people renting in the private sector asadults between 25 and 34 will no longer be eligible orthe 1-bed allowance and will instead only be allowedto claim the Shared Accommodation Rate. Housing proessionals in local authorities and the voluntarysector are warning that these changes will increasehomelessness.
1. Te Housing Crisis We’re in
2A brieng on the criminalisation o squatting
“Where these cuts take place they will pull away the saety net om some o the most vulnerable amilies and individuals in our society and will inevitably lead to an increase in homelessness.”
Campbell Robb, Chie Executive, Shelter
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