Property runs Deeper than you Think

An MP, a large developer and a banker walk into a bar. Now you may think this is the start of a bad joke and you would be right. However this time it isn’t necessarily funny, as the joke is on us. What we have seen over the recent weeks, is the current Government pushing hard to build even more houses. You may say that this is long overdue, however be wary what news stories you are reading.

What type of homes?

The houses being pushed are for affordable homes, which as I have commented over the years are not for the young twenty-somethings trying to get on the housing ladder. These are for housing associations to help those on the financial fringes of society. Now that’s all well and good, however we are still building the wrong types of properties in the wrong locations, which ends up helping nobody.

Costs and finances

A good proportion of the large developers are saying that it doesn’t make financial sense for them to now give up to 50% of a site for affordable homes, which I can completely understand. They then need to make their money back, which can only be done by building larger homes with higher prices. And the merry-go-round continues.

A reliable plan for building programmes?

The lack of thinking, let alone future proofing on this issue is truly staggering. As an example, please shout if you name a new primary or even secondary school that is being built? Perhaps a new doctor’s surgery, hospital or any infrastructure? And there we have it – a resounding silence.

What is currently happening is that our towns and villages are being quickly suffocated through an ill-thought through building programme, which doesn’t solve the problems that we are actually being faced with and we are simply creating further issues that future generations will have to deal with.

What is the environmental impact

However what is more concerning, is that the property market goes even deeper than just bricks and mortar. On the one hand the Government are keen to set out their environmental credentials, yet in the next sentence they are quite happy to tarmac over our green spaces.

As a small island, I can’t understand why we are intent on removing our farmland. A reduction in the amount of homegrown produce, means that we will need to be ever more reliant on importing from other countries. This of course then has environmental impacts, plus we are at the behest of the exporting country.

Solar infrastructure?

Going down another step, developers are keen to install solar panels to meet Government policy of net zero, plus large-scale solar and battery farms are increasingly commonplace. However due to China’s global dominance in the solar panel industry, it’s almost impossible to build these without their involvement or not rely partly on say the Democratic Republic of Congo to supply the heavy metals required. The last time I heard, China was a communist state and both countries don’t exactly have a glowing record for human rights.

What we are now saying as a country and individuals if we are openly supporting countries like this and involving them in a sector that is so integral to the economy of this country? We seem to have lost our way in what the country actually needs in terms of housing, but in doing so have relinquished control of the whole situation to third party countries.

How can this be solved?

One of the greatest contrasts over the last 50 years is that whilst monthly salaries have increased, this growth rate has been dwarfed by the increase in house prices. Hence affordability now being at an all time low. Surely it would be better to concentrate on resolving the root causes, rather than to paper over the cracks?

Whilst we don’t seem to be able to stop the machine that has now started, the MP’s, the large scale developers and the banks behind it all are all very happy. But are you?