Home ownership falling in major English cities, says think tank
The BBC have today reported research done by the Resolution Foundation that cities in the UK have seen the sharpest falls in home ownership since a peak in the early 2000s.
The Resolution Foundation said homes were becoming increasingly unaffordable for struggling potential buyers. The proportion of home owners dropped from 72% in April 2003 to 58% this year in Greater Manchester, it said.
West Yorkshire, the metropolitan area of the West Midlands and outer London have also recorded double-digit falls. The average first-time buyer paid just under £30,000 for their new home in the 1980s compared with more than £150,000 now, the think tank said.
The report used recent data from the government's English Housing Survey showing the total number of buyers has fallen by a third in 10 years, and those who do buy their first home increasingly rely on the bank of mum and dad for help.
The reduction in the proportion of people owning their own home was also recorded in other parts of the UK. The figures suggest home ownership:
- Fell from its 2006 peak in Northern Ireland of 73% to 63% now
- Dropped from 69% in Scotland at its 2004 peak to 63% now
- Decreased from 75% in Wales at its 2006 peak to 70% now
Commenting on the report, Zhan McIntyre, Policy Lead at SFHA said:
“This is interesting research, particularly in light of the end of Right to Buy in Scotland that happened on 31 July.
“Renting is becoming much more important as a housing option, and at the SFHA we are campaigning for more affordable homes for social rent”
The full BBC report is available here.