The South-east may face growing homelessness and poverty after its regional assembly cut housebuilding targets, housing experts have warned.

The South-east regional assembly voted on Monday to reduce its target to 25,500-32,000 homes a year for the next 20 years.

The previous housebuilding target was 32,000-36,000 homes (HT 26 November, page 9).

In the past five years, an average 25,500 homes have been built in the South-east each year.

Nick Skellett, chair of the assembly, said: 鈥淲ithout certainty on the question of infrastructural investment, we could not see how the higher levels of growth proposed were sustainable.鈥�

But the National Housing Federation South-east has warned that minimising construction in the region would 鈥渂e a recipe for homelessness, poorer health, diminished economic performance and more poverty鈥�.

An ODPM spokesman refused to comment on the South-east鈥檚 new targets but said he was 鈥渄isappointed鈥� by the vote.

He added: 鈥淣ew-build rates are only 75% of assessed need in the South-east. During the past six years alone, we have witnessed average house prices in the South-east increase by 127% and the widening affordability gap for those on lower incomes, especially key workers.

鈥淭his will have consequences for our children and for future generations.鈥�

It is understood that deputy prime minister John Prescott has the power to override the assembly鈥檚 decision, but the ODPM would not comment on whether he would.

The assembly will run a public consultation, from mid-January to mid-April next year, before it finalises its regional spatial strategy.

Source

Housing Today