London 'key' to govt housing targets

The government will not succeed in its ambitious housing plans unless it focuses on freeing up property to rent in London, it has been claimed.

London Councils' executive member for housing Jamie Carswell insisted that the capital must be a showpiece in Whitehall's efforts to solve the ongoing housing affordability crisis.

Mr Carswell welcomed a new initiative that affords all first-time buyers whose household income comes in at under £60,000 the opportunity to bid on their share of a property, but he insisted more needs to be done.

"We are pleased that the government is responding to one of the challenges that London Councils set out in its housing vision by trying to help more low and middle income families to enter the property market," Mr Carswell began.

"But London's high cost of living means that the capital - where average house prices are 13 times the median income - needs a targeted approach to this issue if it is to be successful."

The government has outlined plans to build two million new homes across the UK by 2016.

News posted on 30th May, 2008