Despite housebuilder’s results last week reporting an average 16% increase in the number of homes they had built during 2013, house building output is actually 11.3% below pre financial crisis levels. The number of new homes started in 2013 was 122,590, the highest since 2007. But this is still HALF the number experts say are needed each year to meet housing demand, let alone addressing the shortages from previous years.
However, the number of new homes completed last year actually fell by 5% to 109,370. The Government’s schemes have not helped either, creating easier access to borrowed money resulting in boosted demand rather than increased supply, sending house prices soaring, especially in the south.
Home ownership has now fallen to its lowest level in 25 years. The number of people sleeping rough in England has increased by over 30% since 2010. The proportion of working households claiming housing benefit is now higher than 2010. Hardly a success story Mr Cameron! At the same time, the large plc housebuilder’s are returning cash piles generated from the record profit increases, to their shareholders.
