Housebuilders under fire over housing shortage

HOUSING associations have come under fire this week for calling on the Government to provide more money and legislation to address the chronic housing shortage in the countryside.

by Tribune Web Editor
Thursday, October 2nd, 2008

by René Lavanchy

HOUSING associations have come under fire this week for calling on the Government to provide more money and legislation to address the chronic housing shortage in the countryside.

Nearly 700,000 people in rural areas are on a waiting list for an affordable home built by a private not-for-profit housing association, according to a new report by the National Housing Federation and Campaign to Protect Rural England.

It also found that the average cost of a rural home is £231,000 – 13 times the average rural salary.

But Alan Walter, chair of Defend Council Housing, accused housing associations of trying to “screw the public purse” and said the shortage was their fault for not providing cheap rented accommodation.

David Orr, NHF chief executive, said: “Without urgent action by ministers many of our villages are in danger of becoming the preserve of the rich and weekend playgrounds for second home owners”.

The Government has increased its target of affordable new rural homes to 10,300 over the next three years. But the report says over 14,000 people on average have been joining the waiting list every month. It calls for more public investment and more concentration on rural areas.

Mr Walter responded: “The argument [for housing associations was, for every pound of public subsidy they could borrow a pound privately. What they’re saying is, ‘we can’t borrow, so we want two quid from the public’… They want to screw the public purse.”

The only place you can read all of Tribune's articles as soon as they are published is in the magazine. To find out more about subscribing from as little as £19, click here.

About The Author

  • Robert

    Not for profit how false can that be, if a bloke who runs a housing association pays himself a large nice fat wage packet he is making a profit, with wages from £500,000 down to £250,000 thats not bad for not having to make a profits is it.

  • Robert

    Not for profit how false can that be, if a bloke who runs a housing association pays himself a large nice fat wage packet he is making a profit, with wages from £500,000 down to £250,000 thats not bad for not having to make a profits is it.

blog comments powered by Disqus