Lord Wolfson suggests a way to solve the housing problem in Britain and Elaine Atkinson reports on progress on the housing front in Poole following a recent visit by housing minister Kris Hopkins.
Housing in Britain
Lord Wolfson
House price inflation does not make the nation richer. It merely makes home owners rich at the expense of those who do not own their homes. It widens the gap between rich and poor, young and old, north and south. Even those who have enjoyed seeing the value of their home increase are now beginning to worry about how their children will be able to afford a home.
Demand for more housing in the UK is an economic opportunity. Building on just 1% of the 92% of British land that is undeveloped could provide all the homes we need: well-built homes, spacious, comfortable, affordable, and with plenty of gardens and open green spaces. The right housing policies present an opportunity to improve our quality of life and create hundreds of thousands of skilled jobs.
We have a planning system that doesn’t work. It has overcrowded our towns and cities, overloaded our transport infrastructure, inflated land prices, underinvested in quality, restricted competition and crushed innovation. Britons now live in Europe’s smallest and most expensive homes. A system that was designed to ensure better homes for all has morphed into an economic straitjacket.
New development does not have to take place within the bounds of our existing towns and cities. An acre of arable land in the South East of England is worth less than £20,000 an acre. With planning permission it is worth over £1,000,000. That gain could be invested in better quality homes, infrastructure, parks, playgrounds, and in compensating the small number who would be adversely affected by the new development.
Garden cities offer a ray of hope. Around 40 existing towns and cities could be expanded and revitalised. Enabling legislation can allow the vast sums currently spent on land to be invested in build quality and infrastructure. This is a chance for all those who aspire to own their own home.
Housing in Poole
Elaine Atkinson
When the Conservative housing minister Kris Hopkins visited Poole in July, it was a great opportunity for me to showcase our town and our housing. When we met a representative from Gallaghers, the company responsible for the Hamworthy regeneration site, Kris encouraged him and offered to show him around a development site in the Midlands. Kris and I visited the Inland Homes first phase Pilkington development, where we were told these homes were being sold to local people and not as second homes. At least five of them have been sold via the government Help to Buy scheme. We also visited the Hamworthy First School site, which now looks quite beautiful and is our part of the partnering agreement with Spectrum Housing Association. Spectrum provided investment funding to build 30 units of housing, of which 9 have been sold on the open market, 5 are in shared ownership, and 16 are rented at an affordable rate set at 80% of the local market rent.