Insurance News Archive

Govt 'must stimulate home building'

The government must do more to meet its targets for home building, including offering a greater proportion of social housing, a report has concluded.

A review by the communities and local government select committee also calls for the state to prevent lenders repossessing homes too quickly and to protect tenants from unscrupulous landlords.

The report also expressed concern that money is being borrowed from future budgets to fund current home building, questioning how the cash will later be restored.

It calls for Whitehall to increase construction of social housing and encourage public sector organisations to make land available for new properties.

Responding to the committee's report, the Royal Institution of Chartered Surveyors states: "Low levels of housebuilding are a serious issue that must be addressed alongside mortgage lending as part of the government's response to the economic situation."

It predicts that the number of homes built in 2009 is likely to be below 80,000, falling substantially short of the government's target of 240,000.

25 Feb 2009