Homes cost more than seven times average income
http://www.bbc.co.uk/news/business-39301963
"Working people typically face house prices of more than seven times their annual earnings as affordability is increasingly stretched.
The typical property cost 7.6 times average annual earnings of employees in England and Wales, the Office for National Statistics (ONS) said. The aftermath of the financial crisis saw affordability levels plateau. But now buyers face paying a record multiple of earnings as the affordability gap widens.
In 2007, the typical buyer faced paying 7.2 times their earnings on a property, but this was surpassed in 2015 (7.4 times) and again in 2016 (7.6 times).
The official figures will make gloomy reading for potential first-time buyers whose wages have stagnated and who now see property ownership become comparatively more expensive.
However, borrowing costs are at historic lows with banks and building societies cutting interest rates on mortgages to attract customers. A recent report by Shelter suggested that nearly eight out of 10 families across England are unable to afford newly built homes in their local area."
Why don't the council build affordable houses for people? It's not like the UK doesn't have space.
"Working people typically face house prices of more than seven times their annual earnings as affordability is increasingly stretched.
The typical property cost 7.6 times average annual earnings of employees in England and Wales, the Office for National Statistics (ONS) said. The aftermath of the financial crisis saw affordability levels plateau. But now buyers face paying a record multiple of earnings as the affordability gap widens.
In 2007, the typical buyer faced paying 7.2 times their earnings on a property, but this was surpassed in 2015 (7.4 times) and again in 2016 (7.6 times).
The official figures will make gloomy reading for potential first-time buyers whose wages have stagnated and who now see property ownership become comparatively more expensive.
However, borrowing costs are at historic lows with banks and building societies cutting interest rates on mortgages to attract customers. A recent report by Shelter suggested that nearly eight out of 10 families across England are unable to afford newly built homes in their local area."
Why don't the council build affordable houses for people? It's not like the UK doesn't have space.
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Original post by AishaGirl
Why don't the council build affordable houses for people? It's not like the UK doesn't have space.
You're a bloody genius, you.
Original post by Davalla
You're a bloody genius, you.
Perhaps if the UK allocated their £780+billion annual budget a bit better there would be money to build them.
The state should ensure that reasonable accommodation is available, but buying it is not a right. The UK is a small country and people also want their green space protecting, so large housing projects are not easy to get approved in areas not currently zoned for residential. There's also the issue of people needing to be close to their jobs. I am sympathetic to people wanting to buy, but not to paying tax to enable different people to buy.
Are you saying that the issue is price or supply? Why should the state pay to allow different people to buy them?
If you want more supply, then I'm sympathetic to that, although, practically, it would have to be high-density housing. If buying is such a big issue now, then I'd look into other countries, or starting your own building company / charity.
Original post by AishaGirl
Perhaps if the UK allocated their £780+billion annual budget a bit better there would be money to build them.
Are you saying that the issue is price or supply? Why should the state pay to allow different people to buy them?
If you want more supply, then I'm sympathetic to that, although, practically, it would have to be high-density housing. If buying is such a big issue now, then I'd look into other countries, or starting your own building company / charity.
Original post by RogerOxon
The state should ensure that reasonable accommodation is available, but buying it is not a right. The UK is a small country and people also want their green space protecting, so large housing projects are not easy to get approved in areas not currently zoned for residential. There's also the issue of people needing to be close to their jobs. I am sympathetic to people wanting to buy, but not to paying tax to enable different people to buy.
Are you saying that the issue is price or supply? Why should the state pay to allow different people to buy them?
If you want more supply, then I'm sympathetic to that, although, practically, it would have to be high-density housing. If buying is such a big issue now, then I'd look into other countries, or starting your own building company / charity.
Are you saying that the issue is price or supply? Why should the state pay to allow different people to buy them?
If you want more supply, then I'm sympathetic to that, although, practically, it would have to be high-density housing. If buying is such a big issue now, then I'd look into other countries, or starting your own building company / charity.
I don't particularly care if they build or not but I've heard many people on here saying that the government simply have to build more social housing for people because it's just too expensive to buy.
It's a mix of money and space I guess. It costs money to build them and like you said you need approval to build on new spaces. The UK has a lot of space though...
Original post by AishaGirl
I don't particularly care if they build or not but I've heard many people on here saying that the government simply have to build more social housing for people because it's just too expensive to buy.
Are there lots of empty houses? Are people without housing because of cost, or just not able to buy it?
Original post by AishaGirl
It's a mix of money and space I guess. It costs money to build them and like you said you need approval to build on new spaces. The UK has a lot of space though...
Compared to where? France has about the same population, but is much bigger, and it's just next door.
(edited 7 years ago)
Original post by AishaGirl
Why don't the council build affordable houses for people? It's not like the UK doesn't have space.
Why don't the council build affordable houses for people? It's not like the UK doesn't have space.
My council has just raised taxes by the maximum legal limit without requiring a referendum. That raise will barely cover the minimum core care services they are legally obliged to provide... how do you expect councils to afford a massive house building program? Not to mention the upkeep once built.
Original post by Reue
My council has just raised taxes by the maximum legal limit without requiring a referendum. That raise will barely cover the minimum core care services they are legally obliged to provide... how do you expect councils to afford a massive house building program? Not to mention the upkeep once built.
They can cut spending from certain areas and ensure that big business actually pay their tax.
Original post by RogerOxon
Are there lots of empty houses? Are people without housing because of cost, or just not able to buy it?
Compared to where? France has about the same population, but is much bugger, and it's just next door.
Compared to where? France has about the same population, but is much bugger, and it's just next door.
I don't think the British people would appreciate being told to move to another country haha.
My response was that people should work hard to get higher paying jobs to be able to afford the houses but that didn't go down so well. People on minimum wage jobs also have to rent and stuff and it's expensive so that doesn't really work.
Original post by AishaGirl
They can cut spending from certain areas
Which areas would you like a council to cut spending from?
Original post by AishaGirl
and ensure that big business actually pay their tax.
Local councils don't currently keep all their business rates. It goes to central government.
Original post by Reue
Which areas would you like a council to cut spending from?
Local councils don't currently keep all their business rates. It goes to central government.
Local councils don't currently keep all their business rates. It goes to central government.
Hang on, are you saying that the "government" doesn't built social housing but local councils do? Then that makes things much more complicated. I wasn't aware of this.
I was going to say cut some money from the defence budget and benefits.
Original post by AishaGirl
Hang on, are you saying that the "government" doesn't built social housing but local councils do?
Social housing is dealt with at a district council level, not by central government. Each individual council is responsible for it's own housing stock.
Original post by AishaGirl
I was going to say cut some money from the defence budget
The same budget which has sent our armed forces to war without proper protective equipment?
Original post by AishaGirl
and benefits.
Surely social housing is a form of benefit...
Original post by Reue
Social housing is dealt with at a district council level, not by central government. Each individual council is responsible for it's own housing stock.
I didn't know this. Then I guess it's much more complicated for local councils to find the money required to build new homes all the time.
The same budget which has sent our armed forces to war without proper protective equipment?
I'm not getting into a debate about wars but Iraq was clearly uncalled for and we should have just let the U.S deal with it. We're not at war (technically) at the moment so now would be a good time to shave a few billion off the budget.
Surely social housing is a form of benefit...
I was referring specifically to job seekers and disability benefit.
Better let all the Chinese people buy up houses in London.
https://www.ft.com/content/40a42390-c857-11e6-9043-7e34c07b46ef
https://www.ft.com/content/fc1b3e6c-a334-11e6-8b69-02899e8bd9d1
https://www.theguardian.com/cities/2016/sep/29/inside-china-passion-foreign-property-investment-uk
https://www.ft.com/content/40a42390-c857-11e6-9043-7e34c07b46ef
https://www.ft.com/content/fc1b3e6c-a334-11e6-8b69-02899e8bd9d1
https://www.theguardian.com/cities/2016/sep/29/inside-china-passion-foreign-property-investment-uk
This is the part of the reason a lot of people are whining though is because they work in London or close by London and they cannot afford to live there and they complain that people are buying up all the property and charging high amounts of rent for them.
But it's London... it's the capital, it's going to come at a premium.
But it's London... it's the capital, it's going to come at a premium.
Original post by AishaGirl
I don't think the British people would appreciate being told to move to another country haha.
It's one solution to high house prices. Plenty of British people don't want green belt land built on too.
Original post by AishaGirl
My response was that people should work hard to get higher paying jobs to be able to afford the houses but that didn't go down so well. People on minimum wage jobs also have to rent and stuff and it's expensive so that doesn't really work.
People on minimum wage really can't expect to buy. There is help for them to have a roof over their heads.
Original post by RogerOxon
People on minimum wage really can't expect to buy. There is help for them to have a roof over their heads.
Wow someone who finally agrees with me. Owning a home is a privilege not a right.
Original post by AishaGirl
I didn't know this. Then I guess it's much more complicated for local councils to find the money required to build new homes all the time.
I'm not getting into a debate about wars but Iraq was clearly uncalled for and we should have just let the U.S deal with it. We're not at war (technically) at the moment so now would be a good time to shave a few billion off the budget.
I was referring specifically to job seekers and disability benefit.
I'm not getting into a debate about wars but Iraq was clearly uncalled for and we should have just let the U.S deal with it. We're not at war (technically) at the moment so now would be a good time to shave a few billion off the budget.
I was referring specifically to job seekers and disability benefit.
Lol you are literally a living stereotype
So, in a world where ISIS are threatening to kill you, huge swathes of the middle East and Africa are unstable, genocide is regularly going down, Kim Jong-Un is firing his little rockets all over the show, Russia literally invaded a country, America is being led by Donald Trump, all of this, and you don't care about this country being able to defend itself? & All the jobs and opportunities the military provides?
The beautiful countryside of this country needs to be protected from just bring brutally hacked away... The park and surrounding areas in my town is going to be built over to satisfy growing local housing needs, and it's disgusting. Where can people to to get in touch with nature?
Fact is, we're living in an overpopulated planet. People just need to have two children or less, the replacement rate, and the problem will sort itself out eventually. It's not long term sustainable for people to have large families anymore
Original post by 1010marina
Lol you are literally a living stereotype
So, in a world where ISIS are threatening to kill you, huge swathes of the middle East and Africa are unstable, genocide is regularly going down, Kim Jong-Un is firing his little rockets all over the show, Russia literally invaded a country, America is being led by Donald Trump, all of this, and you don't care about this country being able to defend itself? & All the jobs and opportunities the military provides?
The beautiful countryside of this country needs to be protected from just bring brutally hacked away... The park and surrounding areas in my town is going to be built over to satisfy growing local housing needs, and it's disgusting. Where can people to to get in touch with nature?
Fact is, we're living in an overpopulated planet. People just need to have two children or less, the replacement rate, and the problem will sort itself out eventually. It's not long term sustainable for people to have large families anymore
So, in a world where ISIS are threatening to kill you, huge swathes of the middle East and Africa are unstable, genocide is regularly going down, Kim Jong-Un is firing his little rockets all over the show, Russia literally invaded a country, America is being led by Donald Trump, all of this, and you don't care about this country being able to defend itself? & All the jobs and opportunities the military provides?
The beautiful countryside of this country needs to be protected from just bring brutally hacked away... The park and surrounding areas in my town is going to be built over to satisfy growing local housing needs, and it's disgusting. Where can people to to get in touch with nature?
Fact is, we're living in an overpopulated planet. People just need to have two children or less, the replacement rate, and the problem will sort itself out eventually. It's not long term sustainable for people to have large families anymore
I'm not saying the UK should not defend itself, I'm saying when we're not at war we could probably cut some spending in that department. If the defence budget is £50billion when we are at war, how can it still be £50billion when we're not at war?
I'm not saying the government should build on all land but clearly there seems to be a large portion of the population that cannot afford to own a home.
Damn OP, how did you figure this out? You must be a genius or something.
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