Population growth IS a problem!

This won’t end well, because in spite of the tone of debate on migration, we desperately need migrants. In building, we still suffer a skills shortage: not enough UK citizens have bricklaying, plumbing, and roofing skills to build anywhere near as many houses as we need. The casual racist might continue to push the evidence-free argument that the housing crisis is caused by an increase in migration putting pressure on housing even though this has been debunked time and again, but if migrants leave it will become even more difficult to staff building sites and complete houses, and house prices will rise yet again.

For more: https://www.theguardian.com/housing-network/2017/feb/17/hard-brexit-worse-housing-crisis-eu-eib

There is a strange and worrying tendancy particularly amongst some people who would presumably be in favour of sustainability and dealing with man-made climate breakdown, to utterly refuse to accept that population growth is a problem. Incessant population growth puts a strain on resources, increases our impact on the environment and is not needed to support the economy. The UK finds itself in the bizarre situation of building smaller and smaller houses, increasing densification and rising traffic congestion. We do not need population growth!

Renting rather than buying – the latest option for the very well heeled!

Foreign billionaires are renting rather than buying luxury homes in London following increases in tax bills on upmarket properties. Lettings that cost more than £3,000 a week – £156,000 a year – increased by 28% in the last three months of 2016, according to research by the property data service LonRes.

The number of prime central lettings in the capital has risen steadily since the introduction in April 2016 of a 15% stamp duty tax on properties bought via offshore trusts, and a three percentage point surcharge on stamp duty on second homes.

Marcus Dixon, LonRes’s head of research, said that rich foreigners who previously would have shelled out £10m or more on a London home are choosing to rent to avoid paying the tax.
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“The stamp duty cost at the very top end is significant,” he said. “Especially as you have to consider that a majority of these people would be buying it as an additional property so would be paying the additional 3% second-home tax as well.”

https://www.theguardian.com/business/2017/feb/12/foreign-billionaires-london-choosing-rent-avoid-stamp-duty

So if affluent buyers have turned to renting rather than buying how can policy makers deter this process in a bid to reduce demand for luxury properties?

Bloated Newquay set for even more over-development!

Local developers Fortdown want their share of the 3,800 houses planned for countryside east of Newquay. They propose 140 ‘in a sustainable location that will help to deliver the housing growth needed as per the policies of the Local Plan’. Wasn’t this the same Plan that, according to the Council, was supposed to reduce the housing target and control speculative development?
How long will it be until Newquay and Quintrell Downs adjoin?

https://www.facebook.com/itsourcornwall/

Plans have been put forward by developers for a scheme which could bring over a hundred new homes to Quintrell Downs.

http://www.cornwalllive.com/latest-homes-plans-begs-the-question-how-long-will-it-be-until-newquay-and-quintrell-downs-adjoin/story-30109475-detail/story.html

Ponzieconomics and housing

This won’t end well, because in spite of the tone of debate on migration, we desperately need migrants.
In building, we still suffer a skills shortage: not enough UK citizens have bricklaying, plumbing, and roofing skills to build anywhere near as many houses as we need. The casual racist might continue to push the evidence-free argument that the housing crisis is caused by an increase in migration putting pressure on housing even though this has been debunked time and again, but if migrants leave it will become even more difficult to staff building sites and complete houses, and house prices will rise yet again.

For more: https://www.theguardian.com/housing-network/2017/feb/17/hard-brexit-worse-housing-crisis-eu-eib

This quote is a good example of Ponzieconomics. The author seems not to appreciate that one factor increasing demand for housing comes from population increase, a substantial proportion of which arises from immigration into the UK. More people results in more demand for housing. The solution then is to get more building workers to move to the UK to build more houses. Of course the building workers will need houses which means we need more building workers to move to the UK!

The report which the author refers to as having debunked the view that migration puts pressure on housing is rather more nuanced. What it says is that new immigrants tend to live at higher densities than the resident population and are more likely to live in private rented rather than social rented accommodation. “However, the longer they stay, the more their housing consumption resembles that of similar indigenous households.” The end result is that people moving from one country/location to another do increase housing demand!

[As we have previously stated, there are more houses than households; pressure on housing is also a consequence of demand from investors/holiday homes and second homes].

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/257238/lse-housing.pdf

The Charter for Cornwall

The Charter for Cornwall campaign is now into its 2nd phase. We have almost 200 on our mailing list, plus the support of some organisations, including town and parish councils. How many prospective candidates will sign up to its pledges and work for a change in Council strategy if elected? Help us ramp up the pressure by joining our mailing list via our contact page.

The Charter for Cornwall is part of a campaign for a more sustainable future for Cornwall. It will enable voters at the 2017 election to make a better choice.

charterforcornwall.com

And for the continuing coverage of the Charter: –

https://cornwalldevelopersparadise.wordpress.com/

Not building enough?

If you took any notice of the media and most politicians you would think that housebuilding was well stuck in a rut (or building trench!). But private provision in Corrnwall is growing as the figures the BBC HTB stats show.

13-14 14-15 15-16
1260 1490 1530

There are various questions:
Are these the type of houses we need?

Who is buying these houses?

Does this housebuilding help those local residents in need?