Latest Public Sector News

19.07.12

UK housing third costliest in Europe – Shelter

UK housing costs are the third highest inEurope, according to a new report.

This makes theUKthe most expensive in the European Union, after Denmark and Greece, with 16.5% of families spending more than 40% of their total income on housing costs.

These costs include rent, mortgage payments and utility bills, service charges and tax.

The research, conducted by charity Shelter, used data from the EU statistics on Income and Living Standards to ascertain what percentage of families spent over 40% of their total disposable household income on housing costs.

Shelter has claimed that rising housing prices and housing shortages have led to a lack of affordable homes; with 121,200 homes built in England in 2010-11 compared to 132,000 in 2000-01.

Chief executive Campbell Robb said: “These figures are the evidence that theUKhousing market is deeply dysfunctional. With so many families spending huge amounts of their income on their rent or mortgage, people will be making daily trade-offs between food bills, filling the car tank with petrol, and paying their housing costs.

“This is not set to get better any time soon. While the situation is bleak at the moment, a succession of governments failing to provide much-needed affordable homes means that the future facing our children and our children's children is only set to get worse.”

Families in the UK pay an average £6,760 a year in housing costs alone, with mortgaged homeowners paying £7,436 compared to £8,320 for private renters, according to the 2010-11 English Housing Survey. Tenants in social housing pay an average of £4,108. Energy bills add an average £1,152 a year, figures from the Department of Energy and Climate Change show.

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Comments

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