York city council are set to create a £20 million fund for social housing. The fund is being created to combat the high housing demand due to increased population.
Over 1,100 applicants are on the waiting list with high housing need and the fund aims to increase the availability of affordable housing.
According to figures from the department for communities and local Government, fewer affordable homes were built in the past year than any time in the past 24 years.
The city’s wage to house price ratio is also the 6th highest of the local authorities in the North of England with the average house costing around £246,109. This figure is higher than England’s average which is £237,662.
Cllr Sam Lisle says the council are trying to reduce these prices, “you have seen a very significant shift in terms of Government policies in the last 12 months and we are hoping to bring a paper forward in December looking at how we can better utilise some of our assets.
The current problem of Unaffordable housing is an issue that is market driven and with York been a desirable place to live it creates a problem.
Cllr Lisle said, “one of the challenges that York face is key sector workers and trying to retain those individuals in the city.”
“I believe that those workers are vital to keep in a city as they are the ones who help keep the economy running”
However, despite the number of people in need of new social housing increasing, it will take a couple of years before the houses will be built. This is due to the planning process that the Council must do to find the most suitable place for the houses to be built.
There has also been plans announced for an £80 million repair and modernisation programme in which existing homes built will undergo renovations. This is to make the houses more modern and attractive to live in.
The Cllr said, “We are delighted to be able to bring this forward, it’s a really positive step and it demonstrates this administration’s commitment to investing in social housing.”
However, Matthew Simpson, a student looking for housing in York after graduating stated, “It is going to be difficult for me to find a property I can afford and still have enough money for food and bills”
“The average price of house has already increased this year making me feel like I might have to move back home for a while before I set myself up with a house in York”
“I love living here and I’ve applied to be put on the waiting list for housing needs but at this current time it is looking unlikely I will be able to secure a house given that I will be a first-time buyer”
Although, there may be some hope for students like Matthew as this year chancellor Hammond abolished stamp duty on homes under £300,000 which would help 95% of first-time buyers.