Are you a young person looking to get your foot on the property ladder? Perhaps a young family looking for their first home? Or better yet, you maybe older but single, looking to relocate closer to work, family or friends?
You have all likely encountered the same, dire problem. The UK Housing Crisis.
The UK Housing Crisis is a key driver in the decline of Britain. With roughly 42% of Brits under 40 having given up on buying a home in their lifetimes (Zoopla, 2023). British Natives are being priced out of ever owning a home with banks demanding a 10% deposit in order to get a mortgage, a sum not affordable for the average British person. The results of this are stark with just 31% of young adults in the UK owning a home, compared to 55% in 1990 (Intermediary Mortgage News). Not being able to buy a home has many negative effects, one often overlooked being the impact that it has on birthrates. If a young couple native to Britain are looking to have a child, the inability to purchase a family home is a huge obstacle and deterrent towards this.
Globalisation of the housing market
But how has this happened you may wonder? It is a result of the globalisation of the housing market. Rich billionaires from all across the world see UK housing as an investment portfolio, not the heart and home of the British people. They have bought thousands of homes in the UK and driven up prices to the point that it has become unaffordable for the average British citizen. Foreign ownership of properties across England & Wales has nearly trebled since 2010 from 88,000 to a staggering 250,000 as of November 2021 (Centre for Public Data). Globalisation of the housing market must stop if prices are to become reasonable once more. But how would we do this? A date must be set for all foreign property owners to sell, with the UK Government purchasing the assets themselves if a sale is not achieved by said date. In addition to this, a law must be passed banning foreign nationals from purchasing property or land in the UK.
The effects of immigration
If only market globalisation was a single issue. No, as you might expect, there is another huge factor contributing to the housing crisis. Immigration. Continuing at its current rate, the population of the UK is expected to grow by 15 million people by the year 2046 (migrationwatch.org, 2023). To house this bloated population, between 15 and 18 new cities the size of Birmingham would need to be built. This is simply unsustainable, and it is no surprise with such rampant immigration numbers that the demand and price of housing has soared. To relieve this monumental issue, we would see the end to both permanent settlement immigration and to accepting refugees for citizenship and housing.
This is only the tip of the iceberg, and the UK Housing Crisis is a multi-dimensional problem. It is important that people know the factors causing their homes and futures to be out of reach. If you want to know in detail what we here at NHPUK are looking to do about this crisis, head to our policies page.
