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Renting a one-bedroom flat is affordable for new nurses, teachers and NHS healthcare assistants across about half of England, highlighting the severity of the country’s housing shortage, according to the Charity Shelter.
According to an analysis of official data by homeless charities, the average one-bed property rent increases by 45% and 43% for UK local governments, 43% for teachers and 69% for 69% for medical assistants.
Spending more than 30% of total wages on a housing is defined as “affordable” by the National Bureau of Statistics.
The findings highlight the challenges faced by many workers in important public service roles, particularly when finding a place to live in London and the Southeast.
Supply of affordable housing – A wide range of categories, including schemes such as shared ownership and social rent property provided by councils and housing associations with government-controlled rent, are expected to fall across the country, primarily due to high interest rates and rising construction costs.
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In an open letter Thursday, 40 economists, including four Nobel Prize winners, urged Rachel Reeves to prioritize spending on affordable housing in next week’s spring statement and June expenditure review.
“History shows that we will not end homelessness or deliver new homes on the scale we have promised through planning reforms and private markets alone,” the signator told the prime minister in a letter coordinated by the shelter. “The government must prioritize investing in social homes and take advantage of the economic benefits it brings.”
Reeves is under pressure to curb government spending, and it is expected that a long-term budget for the Whitehall sector will be proposed next week.
However, she is facing a push by Deputy Prime Minister and Housing Minister Angela Rayner to ensure adequate funding for the government’s housing construction agenda.
Ministers are committed to maximizing affordable housing for generations, along with the current 1.5 million new homes in Congress.
The UK has not recorded new home construction of this level since the 1960s, when the public sector built more than 100,000 affordable homes each year.
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By March, approximately 62,000 affordable homes had been completed, including those built by commercial developers as part of their planning obligations, according to official data.
House figures suggest supply will decline over the next few years, with London having certain crunches, wider home construction and increasing financial pressure on housing associations.
The number of social homes has declined as the right to buy demolition and sale.
The Ministry of Housing, Community and Local Government said it “has inherited the worst housing crisis at the housing level, affordable for too many people, including public sector workers.”
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The government has filed a rental law, giving it a new right to challenge the rent hikes, adding £800 million to its current grant program for affordable housing, ending next year. Currently, you need to agree to the size of the new multi-year funding program.
The campaigner says that by building more affordable homes, the minister can save money in the long term, both through wider economic benefits and direct reductions in housing benefits and temporary accommodation.
Cath Webster, CEO of Thriving Investments, which invests in low-cost housing, said “beyond more grants (more than more grants)” that the government can promote private investment by extending the proposed five-year rent settlement for social housing to cover more than a decade.
