Ruth Cadbury MP Discusses Affordable Housing
Says thta six figure earnings not always enough to buy a house in London
London MPs have raised the issue of housing in the Commons this week (14 June) saying that the government should acknowledges it is responsible for the scale of the housing crisis in the capital. They called for the government to work with the new Mayor of London and London councils to deliver truly affordable housing.
Ruth Cadbury, member of parliament for Brentford and Isleworth led a debate in Westminster Hall on affordable housing in London and members from across the political spectrum took part.
During the debate Ruth said: "Living in London should not be seen as a privilege, not only should our constituents have the right to live in London, but London needs people to keep our great city’s economy and public services going.
"We know there is a crisis when people on almost £100,000 a year cannot afford a home in London.
"A daycare assistant is paid £6.70 an hour to work in a nursery here in London; that is about £1,000 a month. No one with a family can do such work when the average rent is around £1,500 a month. Even renting a room takes well over half the daycare assistant’s take-home pay.
"According to the Department for Communities and Local Government statistics, 32,000 people in London made an application to their council as homeless in 2014-15, which represents an increase of 38% over five years.
"Fuller’s Brewery in my constituency is a thriving business with an international reputation. Having spoken to the directors, it has become evident that the housing crisis is affecting their business and their ability to recruit and retain staff.
"As more people are priced out of home ownership, they are putting more pressure on the rental market, in which rents are continuing to rise. In my borough, Hounslow, the rent-to-salary ratio is 58%, and rent levels are out of reach for average earners, let alone those on low wages.
"There is no specific Government-led initiative aimed at key workers, and the right to buy for housing association tenants is paid for by the sale of vacant council homes, which causes the social rented housing stock to decline further. Other Government policies, such as reducing the benefit cap, extending the right to buy with discounts of £100,000 and freezing local housing allowance rates, exacerbate London’s affordability challenge."
Fuller's later downplayed the impact that housing had on its business with their spokesperson saying, "While we agree that there is a general shortage of affordable housing across London, the direct impact of this on our brewery is relatively limited. We are helped by ever improving transport links and a genuine focus on recruiting, developing and retaining the best people, hence building our reputation as the employer of choice in the area."
Afterwards Ruth added: "The average rent in London is now £1500 per month and the average sale price of a property in Brentford and Isleworth is £767,845, much higher than the national average".
