View more on these topics

England risks housing shortfall of one million homes

The former chief executive of Barratt Developments has warned that England faces a housing shortage of one million homes by 2010.

David Pretty, chairman of the New Homes Marketing Board, claims that the housing shortfall is headed for “dangerously high” levels.

He says: “The reality is that we are forming households at the rate of around 230,000 each and every year – that is the level we need to meet.

“But we haven’t built in anywhere near those quantities for many years, so we now have a serious backlog which continues to build up.”

Pretty estimates that in the last decade an average of 160,000 homes have been built every year, compared to a pent-up demand for property which could escalate to over one million homes in less than two years.

The disparity between demand and supply means that when the housing market does recover house prices could rocket, further adding to first-time buyers’ woes.

Pretty adds: “Sadly, a generation of first-time buyers has already been sacrificed and it will happen to another generation unless we take decisive action.

“We must not allow first-time buyers to be forgotten, not just because of the social consequences in the future, but also because they are absolutely crucial for the general health of the housing market and our future economic prosperity.”

Recommended

Callcredit sees 73% sales increase

Callcredit Information Group, formerly Skipton Information Group, has seen significant growth in 2008, with sales increasing by 73%.

Owner occupiers flock to low prices

Low prices are fueling a surge in owner occupiers are returning to the housing market looking to pick up a bargain says the Royal Institution of Chartered Surveyors.

HBOS losses sink Lloyds’ shares

Lloyds Banking Group saw its share price go into freefall on Friday after revealing staggering losses of £10bn for HBOS in 2008.

Pensions - thumbnail

Auto-enrolment — don’t leave it too late…

With auto-enrolment (AE) well under way for the UK’s largest businesses, over the next three years an additional 800,000 smaller employers (with less than 60 employees) will start their journey to comply with the legislation. AE mandates all eligible employees and their respective employers to make regular pension contributions into a qualifying pension scheme. To learn more about the legislation read our brief Jelf AEase — simple steps to AE compliance guide.

Newsletter

News and expert analysis straight to your inbox

Sign up