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For decades there has been a mismatch between demand and the supply of homes. Not enough homes have been built to keep pace with the growing number of households and there are significant problems of affordability in many parts of the country, particularly affecting those seeking to buy their first home. In addition, recent mortgage rationing has meant that access to housing has significantly worsened, particularly for First Time Buyers, with deposit requirements now at an average of £33,000.
The latest projections indicate that the number of households in England is projected to continue to grow and will reach 27.8 million by 2031. This means that, between now and 2031, an average of 252,000 new households are expected to form each year.
The latest statistics show that annual housing supply in England reached 166,570 net additional dwellings in 2008-09. This is a 20 per cent decrease on the 207,370 net additional homes supplied in the previous year, and the lowest annual level of net housing supply since 2003-04.
The Department is responsible for delivering Government policies to support an increase in the supply of new homes to address the long term need for housing and to help tackle the issue of affordability.
If you have a query about this area of policy please contact Communities and Local Government general enquiries on contactus@communities.gsi.gov.uk.
