Young workers continue to struggle in the housing crisis
Young Workers August 9 2016“If you’re young, you’ll find it harder than ever before to own your own home.”
These are the words of our new Prime Minister. However despite Tory acknowledgement that the housing crisis is a “burning injustice”, few people in substandard housing will be warmed by the fires of their passion – particularly following years of their inaction.
The CWU on the other hand is working hard to tackle the housing crisis. We have recently released a report on fixing the housing crisis, as part of our Housing for All campaign. The paper –How to repair the housing market quickly – a crisis response’– is well worth a read if you have time, and it really gets to the bottom of the crisis.
The housing crisis isn’t inevitable. Our report contains proposals for a secondary housing market in which property is built, bought and traded on a non-profit basis. Measures include:
- A radical increase in the supply housing -particularly public housing,
- The weaning of Britain off its seeming addiction to ever rising house prices, and
- Tough regulation to improve housing standards, including the banning of all agents fees to tenants.
Housing is now one of the most widely discussed political issues. It’s hard to find politicians – even Conservative politicians – who aren’t speaking out about the crisis. However as is often the case – a lot of talking but little action. The only thing that appears to have had any impact is the Brexit vote, and this was hardly intentional.
The size of the problem has been well highlighted. Research by the Resolution Foundation found that home ownership has fallen to its lowest level in 30 years. In April 2003, 71% of households owned their home, (either outright or with a mortgage), as of February 2016 the figure had fallen to 64%. The proportion of private tenants rose from 11% in 2003 to 19% last year.
The Resolution Foundation’s report follows recent data from the government’s English Housing Survey showing the total number of buyers has fallen by a third in 10 years.
Young people are particularly affected, losing the opportunity of home ownership many of our parents had. Those who have been able to raise the money for a deposit often rely on their parents. For everyone else the task is close to impossible. The Government has a heavily criticised deposit saving scheme. However with rent frequently exceeding 30% of income, putting the money aside is no simple task. One BBC article on how to save for a deposit had helpful suggestions such as: live in a caravan, give up socialising, and never go on holidays. So unless you have significant support, it’s pretty much impossible.
Though young people are being priced out of home ownership and forced to live in substandard conditions, the housing crisis is an intergenerational issue. In 2014/15 43,900 excess winter deaths occurred: these are typically older people dying due to a combination of the cold and substandard housing. The recent toll is the highest in 16 years with a huge spike in recent years. This has to stop.
The CWU has been looking into public attitudes towards housing. We commissioned a poll which showed two thirds (67%) of people believe the private rented sector is expensive’ compared to only 19% and 21% in the council rented and housing association rented sectors, respectively. Additionally, rent control has majority (64%) support across all demographic and political groups. This shows there is the drive to make the necessary changes.
The CWU will host a major housing conference in London in the autumn. This will bring together experts in the field, leading politicians and, crucially, over three hundred union activists.
CWU General Secretary Dave Ward said: “This will be when we write our own story on housing it will be our members collectively determining what their key priorities are and, more importantly, what our campaign plan to achieve them will be.”
Young trade unionists need to take an active role in ending the housing crisis. Theresa May’s sympathy simply isn’t enough.
Article compiled by:
Dan Durcan
CWU Research Department