Auto Trader Ltd
Farminguk
28 May 2016 | Online since 2003
OvoConcept


7 July 2014 11:00:20|Finance,News,Property News

High levels of second home ownership causing 'rural housing crisis'


High levels of second home ownership, low wages and high prices are causing a 'rural housing crisis,' according to a new report.
Rural areas face profound affordability issues with house price growth exceeding increases in local incomes. In 90% of rural local authorities the average home costs over eight times the average salary. The report, 'Rural Housing: Countryside in Crisis', asked the question: "How do we ensure our countryside does not become the preserve of only the very wealthy?"
The Country Land and Business Association backed the National Housing Federation's report but urged for updates to the planning system to be given more time to take effect.
The organisation said the NHF report must allow more time for updates to the National Planning Policy Framework (NPPF) and National Planning Practice Guidance (NPPG) to deliver more affordable housing.
CLA President Henry Robinson said: “Updates to the planning system now provide a framework to allow critically-needed affordable housing to be built in the countryside.
“Planning authorities with local plans that fail to reflect these guidelines, or with a protectionist outlook, prevent landowners in a position to provide affordable homes from doing so.
“Even in instances where local authorities are open to change, there is still a time lag where planning applications are concerned. The new planning system must be given time to take effect in rural areas before the results can be quantified.”.
The organisation said that a reduction in government grants for housing means the private sector offers the best opportunity to address years of underwhelming housing provision.
Mr Robinson added: “Local Authorities must embrace private landowners’ enthusiasm for providing housing instead of hiding behind traditional methods when a real change is needed.
“In many villages development has been restricted for decades, limiting the ability for communities to grow organically.
“We would caution against pursuing the compulsory purchase of sites as faster, more cost effective solutions can be gained through agreements with landowners.”
DEFRA reports that the average price of homes in rural hamlets - where there is the largest difference - is almost £119,00 higher than in urban areas.
The areas with the biggest affordability issues are in the South West. In the South East, it is the rural areas with excellent transport links to London.
Around half (44%) of the 50 most unaffordable places to live in England outside of London are in rural areas. House prices in these areas are between 13 and 20 times the average salary.
Dubbed as POREs (Priced out of Rural England), workers in rural areas have actually seen wages rise at a slower rate than the rest of England in the last decade, by 21% compared to 24% in the rest of the country (2).
Adding to housing woes in rural locations, a shortage of the right kind of properties is pushing up prices. Increasingly, families are feeling forced out of their local areas as more buyers seek second homes in desirable countryside areas which are often left empty outside the tourist season putting pressure on local economies. In some areas like South Hams in Devon, as many as one in ten properties is a second home (3). Of the 25 local authorities with the highest proportion of second homes, nearly two thirds are rural.
Whilst the unaffordability crisis in rural areas is forcing young workers and families out, the number of over 65s has risen 2.5 times faster (by 20%) (4) than in towns and cities. Recent figures project that by 2020 around 65% of over 65s (an increase of 24%) in many rural areas will need help with simple domestic tasks (5) like shopping, washing dishes and opening screw tops. The National Housing Federation is warning that rural areas will struggle to support the aging population boom unless more affordable homes are built ensuring families and working people can keep communities alive.
David Orr, National Housing Federation chief executive, said: “The traditional picture of the English countryside is fast becoming extinct. We know how difficult many under 40s are finding it to afford a home in towns and cities, but it’s becoming impossible for people to put down roots in our villages and market towns.
“The unaffordability crisis in rural areas is putting local shops pubs and schools at risk of closure and ageing populations are putting pressure on communities.
“These worsening problems would be solved if more affordable homes were built. We are not talking about concreting over the countryside. It’s not ruining the countryside to build 10 high quality, affordable new homes in our villages and 50 in market towns. That’s all it would take across the land to end the rural housing crisis and help to solve the country’s housing crisis within a generation.”

Download





0 Comment


loginuserlogo
Name

Please enter your name


Email

Comment

Please enter your comment


Post Comment

Your comment submitted successfully.Please wait for admin approval.


Comments

No comments posted yet. Be the first to post a comment

World News

Canada | 27 May 2016
Southern Ontario farmers launch their own weather network

Southern Ontario farmers are building their own weather network to more accurately record how conditions will affect their crops. The AG Grower Daily Dashboard project is designed to give farmers h...


Australia | 27 May 2016
National Australia sees farmers seeking loans to weather crisis

National Australia Bank Ltd., the nation’s largest lender to farmers, is expecting its dairy clients to seek short-term credit to assist them as slumping milk prices have thrown the industry into a cr...


USA | 27 May 2016
Central Indiana county approves livestock farm restrictions

A central Indiana county has approved new restrictions on big livestock farms limiting where those farms with hundreds or thousands of animals can be built. The ordinance approved this week by the ...


Ireland | 27 May 2016
Dairy farmers' income plight in spotlight

IFA president Joe Healy, who met with EU Agriculture Commissioner Phil Hogan in Brussels, said the majority of dairy farms will be in the red this month. He urged the Commissioner to act without de...


Canada | 27 May 2016
The changing face of Canada's farm industry

Mapping the evolution of Canada's farm industry is not as simple as just examining the numbers. Every five years, Canada's federal government asks us to provide details on who lives in our househol...



Trending Now

Viewed
Discussed

Farms and Land for sale

PropertyLocation
PropertyAgent
PropertyMinimumPrice
PropertyMaximumPrice
PropertyCategory

Holiday Rentals search

AccommodationKeyword
AccommodationType
AccommodationCounty
AccommodationStarRating


Top stories you may have missed
closeicon
Username
Password