The major economic impact of the lack of new homes being built is being highlighted by leading housing research charity, BSHF, which is recommending the creation of a coherent policy framework to address the undersupply of homes.
Last year saw the lowest number of new homes completed in the UK since the Second World War. The total sales of new homes halved in value over three years, reducing the value of sales by £22 billion last year compared with their 2007 peak.
The undersupply of housing has serious negative effects on the economy: limiting growth, hindering labour mobility and undermining macroeconomic stability.
The comprehensive analysis of the state of housing supply in the UK, published this month, emphasises the impact of the lack of new homes on individuals, wider society and the economy.
This analysis highlights the longstanding barriers to new housing, such as land, planning and opposition to development, which have been compounded by the financial crisis.
The report goes on to highlight a gap in the Nation's housing strategy, and calls for the creation of a coherent framework to deliver the required number of new homes.
It proposes the following initial set of strategic objectives to sit between the existing high-level commitment to increase supply and individual initiatives:
Jim Vine, the Head of Programme (UK Housing Policy and Practice) at BSHF, said:
"The Coalition Government has clearly stated its intention to increase housing supply and has outlined a number of initiatives to do this.
"However, our analysis suggests that a greater and more co-ordinated response is required to tackle the scale of the housing supply problem."
The report's analysis draws on discussions held at St George's House, Windsor Castle in June, involving leading practitioners and academics.
Homes Planned for Former Gas Works in Haringey
Haringey Council has granted outline planning permission for the Clarendon Square scheme, which will see 1,000 new homes developed on the site of a former gas works.
To be developed by National Grid Property and the London Development Agency, the scheme plans include up to 1,080 homes - of which 207 will be affordable housing.
In addition to apartments, maisonettes and houses, the development plans provide for a public square, restaurants and bars, office and community space, and roof-top allotments.
Partick to Build 117 Homes
Partick Housing Association has secured an £18 million, 30-year loan facility with long-standing lender Barclays Corporate to help deliver 117 affordable homes in the west end of Glasgow.
About £6 million of the facility will be used to fund an 87 unit mixed tenure development on Ferry Road, including 43 affordable homes and 22 for shared ownership.
The remainder of the facility will fund the purchase of a former school site in the west end of the City and to bring the Association's existing housing stock up to the Scottish housing quality standard by 2015.
Currently, 70% of the stock meets the standard and between £9 and £10 million is needed to upgrade the remaining homes.
[Link2] Report sparks national debate on housing crisis
A report commissioned by the National Housing Federation warns that the housing market is in crisis with millions stuck on housing waiting lists, private rents soaring and owner occupation rates in decline.
