Housing Shortages in the UK

The UK government is undergoing negotiations on various withdrawal agreements related to Brexit. England expects to persuade the EU to grant an extension into article 50 to prevent a no-deal situation.  

It can be seen as a setback for Brexit supporters, but it will still be a better situation than a no-deal. Also, the new changes in the referendum will take more than 22 weeks to systematise.  

Several domestic issues, such as the NHS funding crisis, homelessness and housing shortages, must be looked after. However, the extension granted to Brexit can further upset voters and generate public resentment.

Cross-party commissions said the UK government must launch one of the biggest council and social housing building drives to rescue people from homelessness or the situation created by unsuitable and overcrowded homes. 

The government plans to construct 300,000 homes in a year to fulfil the shortage by mid-2020. Still, such targets seem unachievable as there are risks of shortage in the construction industry, where the country faces structural skill scarcity as the age of workers increases. Moreover, in the post-Brexit phase, access to European labour will also reduce.

Some construction firms recommend using modern methods in house building to substitute labour gaps and improve productivity.

Amidst Brexit, some buyers are searching for properties - as per Rightmove report - which claims the number of browsers on its site increased 5 per cent in the first fortnight of the year on the 2018 figures, where, on average, the website is getting 4.5 million visits in a day. 

Private Rents Are 30 Percent More Expensive

Investment in social housing declined in the country after 1980, and it further declined since 2010. As a result, the government report on housing state affordable rents for a typical two-bedroom house finds it is now 30 per cent more expensive than social rents. Such an amount is beyond reach for many eligible for social housing. 

The increase in the number of families with children renting homes increased to 1.8 million in 2017, which was 566,000 in 2003, where one in seven privately rented homes faced health and safety risks ( as per government figures), and four in ten private landlords said they ban renting to people eligible for housing benefit.

Local Plans to Reduce Housing Shortage

There are many suggestions from various political parties to resolve the crisis, including increasing social funding, constructing a house on green belt land, and developing new offices and homes. However, as per Full Fact data - 88 per cent of the UK is not developed, where a huge portion comes under the green belt.

Some proposed to offer incentives to builders to construct more homes, where small-scale developers can be granted projects with tax incentives. Recently, at the local level, the Birmingham council announced to launch of modular housing where unique features will be offered, targeting a bulky roll-out in 2019-2020.

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