This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at https://www.theguardian.com/society/2017/dec/08/heres-how-we-can-fix-britains-housing-crisis
The article has changed 3 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| Here’s how we can fix Britain’s housing crisis | Here’s how we can fix Britain’s housing crisis |
| (about 1 month later) | |
| Letters | |
| Fri 8 Dec 2017 19.06 GMT | |
| Last modified on Fri 8 Dec 2017 22.00 GMT | |
| Share on Facebook | |
| Share on Twitter | |
| Share via Email | |
| View more sharing options | |
| Share on LinkedIn | |
| Share on Pinterest | |
| Share on Google+ | |
| Share on WhatsApp | |
| Share on Messenger | |
| Close | |
| In Owen Jones’s otherwise excellent article (Don’t let the Tories fool you: we must borrow to invest, 7 December), he has allowed the Tories to fool him in one important respect: namely that there is an absolute shortage of housing. Danny Dorling has demonstrated that the cause of the so-called “housing crisis” is not a lack of accommodation but a malaise of acute mal-distribution, whereby those with the financial muscle over-consume in an orgy of “buy to leave” while social cleansing and rough-sleeping escalates. This was confirmed by ex-Treasury official Ian Mulheirn in an interview on Channel 4 News on 16 November when he confirmed that the rate of house-building had for years outstripped overall population growth. | In Owen Jones’s otherwise excellent article (Don’t let the Tories fool you: we must borrow to invest, 7 December), he has allowed the Tories to fool him in one important respect: namely that there is an absolute shortage of housing. Danny Dorling has demonstrated that the cause of the so-called “housing crisis” is not a lack of accommodation but a malaise of acute mal-distribution, whereby those with the financial muscle over-consume in an orgy of “buy to leave” while social cleansing and rough-sleeping escalates. This was confirmed by ex-Treasury official Ian Mulheirn in an interview on Channel 4 News on 16 November when he confirmed that the rate of house-building had for years outstripped overall population growth. |
| In repeating the Tory mantra that we must increase the housing stock at all costs, Owen adds to pressure for so-called “regeneration” of council housing estates, as recommended by Andrew Adonis, resulting in an overall reduction in social housing, while buy-to-leave and buy-to-let landlords increase their obscene accumulation of wealth and the vulnerable are deported to ghettos of the already needy. | In repeating the Tory mantra that we must increase the housing stock at all costs, Owen adds to pressure for so-called “regeneration” of council housing estates, as recommended by Andrew Adonis, resulting in an overall reduction in social housing, while buy-to-leave and buy-to-let landlords increase their obscene accumulation of wealth and the vulnerable are deported to ghettos of the already needy. |
| What is required is: rent control, as in Germany; penal taxation on non-doms buying-in, as in Vancouver; scrapping of right-to-buy, as in Scotland and Wales; the equalisation of VAT between new-build and renovation/repair; the introduction of land value taxation to eliminate land-hoarding; and the full restoration of democratically controlled planning.Kate MacintoshWinchester, Hampshire | What is required is: rent control, as in Germany; penal taxation on non-doms buying-in, as in Vancouver; scrapping of right-to-buy, as in Scotland and Wales; the equalisation of VAT between new-build and renovation/repair; the introduction of land value taxation to eliminate land-hoarding; and the full restoration of democratically controlled planning.Kate MacintoshWinchester, Hampshire |
| • Your article (Landowners reap benefits of soaring British land prices, 6 December) highlights new data from the ONS charting astronomical rises in land values, which increased by £280bn in 2016 and accounts for just over half the total net worth of the UK. | • Your article (Landowners reap benefits of soaring British land prices, 6 December) highlights new data from the ONS charting astronomical rises in land values, which increased by £280bn in 2016 and accounts for just over half the total net worth of the UK. |
| These figures will no doubt pique Oliver Letwin’s interest, who is leading on an inquiry into the gap between planning permissions granted and build-out rates, announced by the chancellor in his autumn budget. This is a welcome step – we have serious concerns that while nearly 500,000 planning permissions have been granted but remain unbuilt, councils are forced to release yet more land for housing. | These figures will no doubt pique Oliver Letwin’s interest, who is leading on an inquiry into the gap between planning permissions granted and build-out rates, announced by the chancellor in his autumn budget. This is a welcome step – we have serious concerns that while nearly 500,000 planning permissions have been granted but remain unbuilt, councils are forced to release yet more land for housing. |
| The manner in which the development industry and landowners seek to secure this wealth asset is at the heart of the land-banking crisis as developers sit on sites waiting for values to reach a level that will meet their profit expectations. A large proportion of planning permissions are also held by entities that have no intention of building, but are waiting for the right time to sell. | The manner in which the development industry and landowners seek to secure this wealth asset is at the heart of the land-banking crisis as developers sit on sites waiting for values to reach a level that will meet their profit expectations. A large proportion of planning permissions are also held by entities that have no intention of building, but are waiting for the right time to sell. |
| In order to stem land banking, Letwin will need to seriously assess reforms that have been put forward by Shelter, Civitas and others, that seek to channel a greater proportion of land value away from landowners to communities, in the form of more affordable housing and other benefits. Reforms would ease the pressure on councils to unnecessarily release countryside for development.Trinley WalkerPolicy and research adviser, Campaign to Protect Rural England | In order to stem land banking, Letwin will need to seriously assess reforms that have been put forward by Shelter, Civitas and others, that seek to channel a greater proportion of land value away from landowners to communities, in the form of more affordable housing and other benefits. Reforms would ease the pressure on councils to unnecessarily release countryside for development.Trinley WalkerPolicy and research adviser, Campaign to Protect Rural England |
| • There is a very simple solution to the buy-to-let problem and the housing crisis in general (Four in 10 right-to-buy homes are now owned by private landlords, 8 December) – land value tax. Landlords pay it, not tenants. Business rates are already high. Buy-to-let is a business and landlords would pay a much higher rate than homeowners (who will need to be cushioned on initial replacement for council tax). This would put a large proportion of private rented homes on the market, which can be bought up at bargain-basement prices (increased supply = decreased prices) by local authorities and relet as council houses. This would save £10bn a year in housing benefit. | • There is a very simple solution to the buy-to-let problem and the housing crisis in general (Four in 10 right-to-buy homes are now owned by private landlords, 8 December) – land value tax. Landlords pay it, not tenants. Business rates are already high. Buy-to-let is a business and landlords would pay a much higher rate than homeowners (who will need to be cushioned on initial replacement for council tax). This would put a large proportion of private rented homes on the market, which can be bought up at bargain-basement prices (increased supply = decreased prices) by local authorities and relet as council houses. This would save £10bn a year in housing benefit. |
| As for building more affordable homes, local authorities or government could designate a few large estates, owned by the 1%, as garden cities. This would increase the land value overnight and thus the LVT bill. The owners would then have to decide whether to build the damn things themselves, or more likely be forced to sell up for peanuts to local authorities for rapid development. What is more, all the infrastructure could be provided from the public purse and recovered over time by the increasing LVT revenue. No need for useless section 106 agreements or the community infrastructure levy.Carol WilcoxSecretary, Labour Land Campaign | As for building more affordable homes, local authorities or government could designate a few large estates, owned by the 1%, as garden cities. This would increase the land value overnight and thus the LVT bill. The owners would then have to decide whether to build the damn things themselves, or more likely be forced to sell up for peanuts to local authorities for rapid development. What is more, all the infrastructure could be provided from the public purse and recovered over time by the increasing LVT revenue. No need for useless section 106 agreements or the community infrastructure levy.Carol WilcoxSecretary, Labour Land Campaign |
| • Hilary Osborne’s excellent and timely article (Lack of affordable homes pricing out 100,000 families each year, 27 November), while welcome, does not mention the viable option of the “starter homes” programme (excluded from the government definition of “affordable homes” and therefore from local planning authorities). Quality starter homes can be built for around £100,000 (3x average earnings of £27,000 plus 20% deposit). For those on lower earnings, a couple could jointly buy at this level. Yes, sale price has to include the cost of the land, which is what puts home ownership out of the reach of many young families and essential workers, such as teachers and nurses. However, if an entity that owned the land (or public sector) was willing to give it for a very nominal sum, then good quality starter homes could be on sale for around £100,000. It would need safeguards to avoid such properties being bought by investors/landlords.Brian KazerTring, Hertfordshire | • Hilary Osborne’s excellent and timely article (Lack of affordable homes pricing out 100,000 families each year, 27 November), while welcome, does not mention the viable option of the “starter homes” programme (excluded from the government definition of “affordable homes” and therefore from local planning authorities). Quality starter homes can be built for around £100,000 (3x average earnings of £27,000 plus 20% deposit). For those on lower earnings, a couple could jointly buy at this level. Yes, sale price has to include the cost of the land, which is what puts home ownership out of the reach of many young families and essential workers, such as teachers and nurses. However, if an entity that owned the land (or public sector) was willing to give it for a very nominal sum, then good quality starter homes could be on sale for around £100,000. It would need safeguards to avoid such properties being bought by investors/landlords.Brian KazerTring, Hertfordshire |
| • The problem of second and holiday home ownership in the Yorkshire Dales (Council tax rise planned for second homes in Dales to help local buyers, 4 December) has been growing for some time and is a serious threat to the long-term sustainability of its communities. I wish those proposing increasing council tax on second homes as a remedy or as part of a remedy to the problem of affordability for locals all the luck in the world. But with a Conservative dominated county council (52 out of 71 council seats), I doubt it. Like many of their counterparts in the House of Commons, I would not be surprised if many of them are holiday home owners.Andrew McKeonLeeds | • The problem of second and holiday home ownership in the Yorkshire Dales (Council tax rise planned for second homes in Dales to help local buyers, 4 December) has been growing for some time and is a serious threat to the long-term sustainability of its communities. I wish those proposing increasing council tax on second homes as a remedy or as part of a remedy to the problem of affordability for locals all the luck in the world. But with a Conservative dominated county council (52 out of 71 council seats), I doubt it. Like many of their counterparts in the House of Commons, I would not be surprised if many of them are holiday home owners.Andrew McKeonLeeds |
| • Join the debate – email guardian.letters@theguardian.com | • Join the debate – email guardian.letters@theguardian.com |
| • Read more Guardian letters – click here to visit gu.com/letters | • Read more Guardian letters – click here to visit gu.com/letters |
| Housing | |
| Communities | |
| Housing market | |
| Real estate | |
| Housing benefit | |
| Benefits | |
| letters | |
| Share on Facebook | |
| Share on Twitter | |
| Share via Email | |
| Share on LinkedIn | |
| Share on Pinterest | |
| Share on Google+ | |
| Share on WhatsApp | |
| Share on Messenger | |
| Reuse this content |