Here’s 3 ways in which the UK housing sector
is completely and utterly f**ked. 1. Home Ownership. Do you ever get the feeling
that life just isn’t as fair as it used to be? 20 years ago, 65% of 25-34 year olds
on middle incomes owned their own home. Today, it’s just 27% and falling. Mean house prices are 152% higher today than
they were in the mid-1990s, adjusting for inflation. The consequence? The average house
price for a young person today is around 8 times their household income, compared to
4 times 20 years ago. —And with up to half our incomes going on
rent, it will take millennials an average of 19 years to save for a deposit to buy a
house – compared to an average of 3 years back in the 1980s. In comparison, 1 in 6 baby boomers owns a
second home – meaning that not only is there generational concentration of wealth, but
the buy-to-let market means that the pay packets of the young are lining the pockets of wealthy
older people. 2. —Housing benefits. Who do you reckon
is a bigger drain on the state: unemployed people, or enterprising, property-owning private
landlords? Wrong. It’s landlords. Just 1% of UK government
welfare spending goes towards unemployment entitlements. But 25% of welfare spending
goes on housing benefits, which are now part of the Universal Credit system. 4.2 million people claim housing benefit,
which is more than any other kind of benefit. Last year, an estimated 21.9 billion pounds
was spent on making sure that people in the UK could keep a roof over their heads by supplementing
their rent. This year, it’s predicted that over £10
billion of the housing benefit spend will be going towards supplementing rents of tenants
in the private sector. So that’s over £10 billion pounds of taxpayer
dosh feathering the nests of private landlords instead of being spent increasing the supply
of actually affordable housing. Because that’s the real issue. Housing benefit
doesn’t cover rents in 95% of the country. The gap between welfare support and costs
is more than £100 a month in England and more than £900 in central London. This means
that thousands of families are either forced to cover the shortfall between rent and income
through increasing personal debt, or are pushed into homelessness 3. —Which then puts them at the mercy of
the Temporary Accommodation industry Also known as the Chokey of the UK housing sector. In the last 5 years, the combination of benefits
cuts, soaring rents and a nationwide cost of living crisis has led to a massive increase
in the number of people declared statutory homeless. According to the House of Commons
library, there’s been a 77% increase in the number of households placed in temporary
accommodation since 2010, when the Lib Dem-Tory coalition came into power and ruined the lives
of basically everyone who wasn’t a millionaire. The latest data shows that over 125,000 children
are currently in temporary or emergency housing —Between 2018 and 2019, £1.1bn was spent
on B&Bs, hostels and other temporary shelter – 30% of which was spent on emergency B&Bs,
despite there being a near universal consensus that these are the worst form of accommodation
for children and families. Council spending on emergency B&Bs has gone
up by 147% in recent years, while the number of units has increased by only 32%. In short,
the homelessness crisis has created the perfect conditions for unscrupulous landlords to spike
their prices, with the taxpayer footing the bill. More than 27,500 people are living in so-called
“exempt accommodation”, meaning that their full-rent is being paid by the taxpayer, but
there aren’t any safeguards for standards or safety governing the placement. “Exempt
accommodation” is often used to house people who are extremely vulnerable or have complex
needs: domestic violence survivors, the long-term homeless, and people with substance misuse
issues. In a report released just this month, one resident said —“It was dirty, filthy – rats and all
sorts. Really dangerous. Never saw a staff member again after I got the keys. I stayed
for about 10 days, then slept on a park bench for two. I was sexually assaulted in that
park and I was terrified, confused, the lot.” Treating emergency and temporary accommodation
as a commodity has created incentives for the private sector to bleed the public purse
dry – and people aren’t even getting decent

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36 thoughts on “Housing Is F**ked”

  1. Alright, I'm sold on free public housing for all.
    And abolishing private real property. But I was already sold on that.

  2. It's not a matter of if it's a matter of when. The housing issue is out of control throughout the world. Landlords are bleeding us dry and it's not sustainable. Either our governments do something about it or the citizens eventually will.

  3. A dull whinge about the realities of real estate in the UK. The factors are numerous for soaring costs of housing & demographics can not be ignored.

    British governments prioritise vanity projects such as Trident & HS2 over building homes because the UK economy hinges on keep property expensive.

    Break that paradigm & you will break the UK.

    A radical solution would be to break up the UK into 4 seperate kingdoms. Also reduce population by all means available.

  4. ash on point as usual…last couple of minute brought a tear to my eyes. rough sleeper a few years ago and guts me there are more out there, took me so long to get off the streets, still depending on local church food bank btw. we need to be looking at who cares about these issues at the general election. come on people the homeless are not your enemy

  5. It wouldn't be if we hadn't imported too many people.
    Yes 20 years ago labour opened the floodgates to mass immigration, no coincidence that housing then became a huge issue.

  6. Well not surprising considering a South East ETHNIC system in which London/home county Types Seem more at Home in France then Up Real North, We Need a Power Shift English Culture wise and economic from South East who's People Easily Burn Under the Sun to North West Native Briton English, That's Only Way to Keep UK together in my mind

  7. Have faith girl. You can buy a house if you become financially literate. And once more people are economically educated. The whole system can change.

  8. 0:17, I'm loathe to criticise but you can't say 65% of 25-34 year olds on middle incomes owned their own home then show a graph for which the 27% it has apparently now dropped to (circa 2016) is measured for 25-29 year olds of all incomes. The quote was perfectly correct, the graph didn't show what you were trying to say, beyond a general trend down of course everyone in a different age limit. I think the figure 6 graph in the IFS full report best illustrates the point of the gap between income and house prices which is the main reason why people don't own their own homes. And that is down to New Labour, not just Thatcher and the conservatives.

  9. This is programmed to self-destruct. In a complex, interconnected system, it is only one subsystem being pushed to the limits.

    The rich, those who live in comfortable, detached, four bedroom houses and upwards, fail to appreciate their foundations rest on Grenfell Towers and the like.

    Yet quiet flows the Thames: I see but water where I might look to see fire flow.

    Civility hangs by a fraying thread: I wonder at it’s resilience.

  10. I love this page and the content and I agree with all the points apart from 1. And that's only to a certain degree. As a 28 year old when I was in my late teens early twenties I was reckless with spending my money and didn't have a care in the world or any care to buy a house, and actually if I was a little disciplined I could have saved for a mortgage. I understand house prices have gone up and I now rent which isn't ideal however I don't blame the housing market when I have all the opportunity in the world to save and buy but I chose to spend my money on other things. For the poorest people however your right shelter should be a human right and there's much more than could be done!

  11. I can certainly relate. Have been in and out of temporary accommodation for the past five years. Exhausting and I work 44+ hours a week. It's just bollocks! And no child should have to go through this. In fact, no body should. It is fucked! 🤬

  12. Disgusting what has happened to this country, how is a person (or therefore a nation) meant to flourish when they can't even secure the base/second rung of Maslow's hierarchy; security and safety (shelter)
    Ash hasn't even mentioned the fact that in the 80s – a household would typically live off one wage, rather than nowadays' typically being two

  13. The Tory-LibDem coalition repealed the Labour policy that kept the London Bridge attacker in prison indefinitely. They messed with disability benefits. They messed with students. They messed with our NHS.

  14. Labour should have stressed the savings to housing benefits by reduced rents. I can't recall that being mentioned during the recent debates over borrowing.

  15. Some working class have taken out mortages and bought properties to rent dueto the low pay and precarious employment to provide themselves with what they hope is a reliable income. Are these people to be besmerched when they are only responding to the current economic reality?

  16. Brilliant video. What the hell has happened to this country ? I put a £50 deposit on a new house in 1973 and 6 months later I had the keys. It wasn't easy, but it wasn't impossible. If you are thinking I made a killing in the housing bubble , I didn't. During the Thatcher years when Industry in the UK was decimated, I recall thinking…my heart bleeds for a Tory with a big ( negative equity ) mortgage . Nothing has changed. My heart bleeds for young people with children , a big mortgage , who voted for Brexit ….and work for Honda in Swindon. I'm sympathetic for the children , but not for their parents. 12th December is decision time.

  17. I'm just here wondering why young people would even WANT to buy a house.
    To me, that is just a nostalgic idea, that doesn't really fit with modern capitalism anymore and it seems kind of pointless trying to go back to that, at least while capitalism still exists.
    Today's job requirements make owning property more of a burden. Who still stays in their home town for the rest of their lives, when HR departments expect flexibility and mobility of their workers? Maybe that's just me or maybe it's different in the UK, but I don't know a lot of young people who have any desire to own a house.

  18. I went from freezing, damp, bug-infested private renting to a lovely housing co-op, run by awesome old ladies (buying technical services from a local not-for-private-profit org') in the mid-1980s Liverpool, when expecting our first baby (how we qualified, it was still crap for single or childless couples, but they could also set up co-ops…) now 32 and all As at A level, at state schools, with communist parents! It was a fantastic experience, only marred by the gradual disintegration of community via Thatcherism … you know the script, those of you who lived through these times. Co-op and mutual (NOT council housing!!) is the future!

  19. The majority of young people have parents and grandparents, not getting why young people are attacking their own parents and grandparents, also not getting why these so called wealthy parents and Grandparents that Ash talks about aren't helping their kids, not that mine need any help because they are better off than me.
    So much hate and disinformation from one so young.

  20. Thank you, yet again Ash.
    I now run a social enterprise, providing good quality housing in central Doncaster. You are welcome to visit, make a programne and be speaker at one of our public meetings – on the future of housing under luxury communism!

  21. The tories have pushed the UK into 19th century Victorian times and they are galloping uninterrupted towards 18th century, with a goal for 17th century anti-Democratic toryism. If we don't vote them out now, we are all doomed.

  22. This needs to be said:

    Government spending has been reducing since the GFC, causing reduced money into the economy, causing economic slowdown. Central banks all over the world are targeting 2% inflation, and the way they increase the current inflation of <1% is by reducing the interest rate to encourage "productive borrowing". What happens instead is people borrow more to buy property, which inflates housing prices. Demand in the form of disposable income is therefore redirected through interest payments to private banks, shrinking the real economy even further. Interest rates are already near zero, and negative interest rates are not passed on by banks to consumers. The economy is only going get worse until governments start injecting money into the economy. We have to try and convince people to vote for governments that will spend more (new) money on public services, to reverse this downward trend.

    Before anyone asks about money printing or government debt:
    – Weimar: printed money for war reparations, intentionally devaluing the currency to screw the French (problems became more severe when austerity started)
    – Zimbabwe: removed farm owners and replaced them with locals, with no experience running farms. This destroyed agriculture, the country's main export
    – Venezuela: mainly crude-oil economy hit by an oil price crash and US sanctions
    – Greece: combination of overspending on pensions and infrastructure, corruption, no local currency (so unable to create money), a huge influx of private debt creating capital flight, and widespread tax evasion
    – Winter of discontent: household share of income at a peak, union power at its highest and a labour shortage allowing workers to strike with abundant jobs to go to in case they were sacked. Businesses couldn't afford to survive so began shutting down. Production fell, causing inflation, and unemployment at the same time (called stagflation). Economists were stumped thinking that unemployment prevents inflation. They blamed it on government spending. The UK economy currently isn't anywhere near that situation.

    If you want to see what could happen if money printing is done well, look at the UK during Attlee's time, or the US under FD Roosevelt.

    Please reply if I'm wrong on anything…

  23. Ash…you can't even assemble an ikea billy bookcase…what makes you think you can even attempt to comprehend "housing"???

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