AFFORDABLE HOUSING DROPS BY 80% IN SIX YEARS IN LONDON

10.57.20am GMT Mon 1st Dec 2003

Affordable Housing plummeted in London in the last 6 years

New figures revealed by Liberal Democrat Mayoral candidate Simon Hughes MP, shows that the number of millionaire mansions sold in London has quadrupled while the number of houses costing less than £100,000 has dropped by more than three quarters in the last six years.

The figures revealed in a Parliamentary answer show that in 1997, 74,570 houses were sold in London costing less than £100,001. By 2002 this had dropped to just 16,134. In the same period the number of homes sold costing a million had jumped from 480 to 2,046 and total sales of homes in London by 39,764. Mr Hughes today expressed his fears over the ability of key sector workers in the capital to get a foot on the housing ladder.

Simon Hughes said:-

"The shortage of affordable housing in London now means many workers from both the public and private sectors can no longer afford to live and work in the capital. The Mayor has failed to deliver on his key promise to increase the amount of housing for low-paid workers in the capital and London is now reaping what he sowed.

"In 1997, over half of all houses sold cost less than £100,000. Today it is less than one in ten. The idea that nurses, teachers and social workers will be able to get a foot on the housing ladder is sadly laughable and ludicrous.

"The capital is now facing a crisis in the recruitment and retention of key sector workers. Many newly qualified staff will simply look to get work outside of London leaving our essential services relying on temporary staff to fill long term vacancies."

"London's housing problems can no longer be ignored or under-estimated. Immediate and decisive action is required to boost London's housing supply. This would be my housing priority as London Mayor. I would tackle the crisis head on by negotiating with landowners to release undeveloped brownfield sites and working with boroughs to ensure that London's 100,000 empty properties are brought quickly back into use."

ENDS

Notes to editors.

Mr Hughes asked

To ask the Parliamentary Secretary, Department for Constitutional Affairs how many house sales there were at more than a)£50,001, b)£100,001, c)£200,001, d)£500,001, e)£750,001 and f)£1million in London in each of the last six years for which figures are available (139932)