England has missed out on 212,000 new homes since the last
election because of the Conservatives’ failure to meet their
manifesto housebuilding target.
At the 2019 general election, the Tories promised to build
300,000 homes a year, but they have never met that goal.
New analysis finds that in 2021-22, the most recent period for
which data is available, the government fell 67,000 homes short
of their target. In the two years before that they fell 88,000
and 57,000 homes short.
This comes amid an acute housing crisis, with homeownership rates
plummeting, rents and mortgage payments soaring, and the number
of homeless families stuck in temporary accommodation at a record
high.
In 2009-10, 47% of 25–34-year-olds and 67% of 35–44-year-olds
were owner occupiers. In 2021-22, that had fallen to just 41% and
59% respectively.
The housing crisis is only set to get worse with Rishi Sunak’s
decision to scrap local housing targets in the face of a
rebellion by his own backbenchers in December leading to expert
forecasts that housebuilding will hit its lowest level since the
Second World War.
Planning applications have fallen to a record low and at least 58
local authorities have already delayed or scrapped their local
housebuilding plans.
The Home Builders Federation, which represents Britain’s biggest
builders, estimates that Sunak’s decision to scrap housing
targets will cause the annual number of new homes delivered to
plunge by 100,000, dealing a £17bn blow to the economy.
But more than double that annual fall has already been lost in
the last three years because of the government’s failure to meet
its manifesto commitment.
, Labour’s Shadow Housing
Secretary, said:
“Every house that the Conservatives have failed to build is a
home that a family desperate to get on the ladder could have
bought.
“On the Tories’ watch, mortgage bills and rents are soaring,
fewer people are able to buy their own home and over a million
people are stuck on social housing waiting lists – and things are
only going to get worse because rolled over to his own party.
“The next Labour government will take the tough decisions to
build the homes we need. We will reform the planning system,
restore local housebuilding targets and support first-time buyers
with a mortgage insurance scheme. Labour will back the builders,
not the blockers.”
Ends
Notes
Annual net additional dwellings in England:
Year Dwellings Difference with 300k
target
2019-20 242,700
57,300
2020-21 211,870
88,130
2021-22 232,820
67,180
TOTAL
212,610
Source: Housing supply: net additional dwellings, England: 2021
to 2022
Housebuilding in England is due to fall to its lowest level since
the Second World War after rolled over to his own
backbenchers last year: https://www.theguardian.com/society/2023/feb/26/england-new-housing-housebuilding-planning-policy
Planning applications have fallen to a record low: https://www.theguardian.com/politics/2023/apr/01/planning-applications-in-england-fall-to-record-low-in-housing-blow
58 local authorities have delayed or withdrawn their local
housing plans: https://www.hbf.co.uk/policy/planning-policy/delayed-local-plans/
The Home Builders Federation estimates that a 100,000 drop in the
number of homes delivered annually will deal a £17bn blow to the
economy: https://www.telegraph.co.uk/business/2022/10/22/end-house-building-targets-will-deal-17bn-blow-economy-obr-warned/
In 2009/10, 47% of 25- to 34-year-olds and 67% of 35- to
44-year-olds were owner occupiers. In 2021/22, that had fallen to
41% for 25- to 34-year-olds and 59% for 35- to
44-year-olds: https://www.gov.uk/government/statistical-data-sets/owner-occupiers-recent-first-time-buyers-and-second-homes [FC2101]
The number of people living in temporary accommodation has hit a
record high: https://www.bbc.co.uk/news/uk-66296333
Labour’s housing plan:
-
has set out a comprehensive
plan to target a homeownership rate of 70 per cent home
ownership.
- Labour will introduce a state-backed mortgage insurance
scheme, with the state acting as guarantor for prospective
homeowners who struggle to save for a large deposit. This will be
modelled on similar successful schemes in other countries, such
as Canada and Australia, where mortgage insurance increases the
supply and reduces the cost of high loan-to-value (LTV)
mortgages.
- We will also ensure that first-time buyers can access homes
that are built, by giving them first dibs on new developments in
their area. We will also put an end to the practice of foreign
buyers purchasing swathes of new housing developments off plan,
before they are completed and have been marketed to local
people.
- Labour will reform the planning system to ensure more new
homes can be built, with local people given a meaningful say on
plans for development in their area.
- We will also build more affordable and social homes as well
as improving standards and strengthening tenants’ rights with a
Renters’ Charter that will make renting fairer, more secure and
more affordable.
