Britain's broken housing market is not being fixed

The Government is falling well short in tackling the country’s burgeoning housing crisis, leading housing groups have warned, on the day that new figures are expected to show the country is not building enough new homes.

In their second Housing Report, the National Housing Federation, Shelter and The Chartered Institute of Housing say the Government is failing to deliver on five out of ten key housing indicators. These include housing supply, affordability of the private rented sector and homelessness.

The report urges the Government to make good on its promises, in particular to ‘get Britain building’, which as well as providing much-needed homes for thousands of families, will also deliver new jobs and economic growth.

The report also warns ministers of the urgency of meeting the nation’s housing needs as pressures, such as falling incomes and a growing and ageing population, intensify over the coming years, putting an increasing strain on Britain’s broken housing market.

David Orr, chief executive of the National Housing Federation, which represents housing associations, said:

"Much more needs to be done to tackle this country’s dire housing crisis. Unless we build significantly more homes, it will only get worse.

"Building new homes will help fix our broken housing market and, with rising unemployment and living costs, spur economic growth by creating jobs and supporting small businesses. It’s a win/win for the taxpayer and for the millions stuck on waiting lists."

Kay Boycott, director of communications, policy and campaigns at Shelter, said:

"Every day Shelter sees families up and down the country whose lives are being torn apart by the shortage of affordable homes.

"This government has had two years to start delivering on housing, yet this report paints a pretty bleak picture of its current record on housing in all its forms.  We must now see progress made on the commitments outlined in November’s Housing Strategy and bolder action taken to make sure families across the country can find a decent place to call home."

Grainia Long, chief executive of the Chartered Institute of Housing, said:

"The Housing Report shows the Government’s progress in addressing our national housing crisis is limited.

"With the economy now in double dip recession, the pressures on the housing system will only increase and the Government needs to step up its efforts in response and be more ambitious in its strategy to boost housing supply and activity in the wider housing sector. Addressing the housing crisis in this way would also be a much-needed and powerful stimulus to economic growth."