Housing market in ‘crisis’ due to lack of new homes

Housing associations across Britain have warned of a shortage of homes that, according to charity Shelter, means "millions of people across the country remain desperate for an affordable place to live".

Shelter's chief executive Campbell Robb called on the government to "urgently look at ways to get construction going". The National Housing Federation (NHF) said the "chronic under-supply of homes" could plunge the housing market into "crisis".

High house prices and large deposit requirements have led to a decline in the rate of home ownership. This comes alongside rising rents and a shortage in social housing.

Housing minister Grant Shapps said: "This government is putting £4.5bn towards an affordable homes programme... and [will] deliver up to 170,000 new homes over the next four years". NHF said this investment still represented a 63 per cent cut.

Read a full report at BBC News. ·