Less well-off take 22 years to save first home deposit

Lower to middle income households face a 22-year wait to save a deposit on their first home, according to a report out last week.

The Resolution Foundation says this compares to just an eight-year wait in 2001 and adds that it would be even longer for those living in London.

In its report, The Essential Guide to Squeezed Britain, the think tank warns that this is pushing more people into the private rented sector, and for longer periods.

Matthew Whittaker, senior economist at The Resolution Foundation and author of the report, says: “For those who rent privately, the picture is one of increasingly short supply, rising prices and frequent dissatisfaction with issues from security of tenure to contract charges.”

The report shows that 8% of lower to middle income tenants are behind with their rent, 10% say they are dissatisfied with their current private rented accommodation, and over a quarter disagree that the private rented sector is a good tenure.