Summary Briefing

Housing costs in the United Kingdom, for both renters and buyers, have been rising quickly in recent decades. In England, the median house price is now 7.7 times the median annual wage. This figure stood at just 3.54 in 1997.1 While it used to be the case that a majority of young Britons owned their homes, now only 34% of 25-34-year-olds are home-owners. Nearly half of women have delayed or decided against having children, with many citing rising housing costs as the main reason. Private sector rents are rising too, with migration being a key contributor. The present housing shortage is caused by persistent under-building. While Britain used to build up to 300,000 houses per year, that figure has been closer to 200,000 since the 1980s. Analysts have suggested that there is a shortfall of 3-4 million homes. House-building is complicated by a wide range of factors: 

• Britain’s…