The generation facing the prospect of never owning their own home

Cornelia Mascio
Aprile 17, 2018

The report added that even if home ownership accelerates rapidly, millennials will never experience the levels recorded for the baby boomers.

The research, by think tank the Resolution Foundation, says a "generation of young people face the prospect of never owning their own home".

It sets out clear recommendations to tackle the UK's housing crisis and argues that more should be done to build affordable homes to get young people onto the housing laddder.

In a report published by the Resolution Foundation for its Intergenerational Commission, it said policy has failed to catch up with the fact that bringing up children in the private rental sector has become mainstream.

If home ownership growth follows the weak pattern of the 2000s, the think-tank argues, then up to half of millennials will be renting in their 40s. However, it also warns that policy makers can not afford to neglect a crucial part of Britain's "here and now" housing crisis - poor quality and insecurity in the private rented sector (PRS).

Private renting has grown rapidly in recent decades, with four in 10 millennials renting at the age of 30, double the number renting at the same age for generation X - the generation before millennials - and four times that for baby boomers, those born in the 20 years after the end of World War Two.

A record 1.8 million families with children rent privately, up from just 600,000 15 years ago, the report said.

The Resolution Foundation recommends introducing indeterminate tenancies as the sole form of contract, following the lead of Scotland in a move that would guarantee stability for tenants.

'While there have been some steps recently to support house building and first-time buyers, up to a third of millennials still face the prospect of renting from cradle to grave.

It is calling for limits to rent rises, the introduction of a housing tribunal to resolves disputes between landlords and tenants and an end to landlords being able to stop tenancies at short notice without good cause.

"If we want to tackle Britain's "here and now" housing crisis we have to improve conditions for the millions of families living in private rented accommodation".

The report also recommended that rent rises should be fixed to the consumer price index and upped only over three-year periods. "That means raising standards and reducing the risks associated with renting through tenancy reform and light-touch rent stabilisation".

'For any housing strategy to be relevant and effective for people of all ages, it must include this combination of support for renters, first time buyers and ultimately a level of housebuilding that matches what the country needs, ' she added.

A Ministry of Housing, Communities and Local Government spokeswoman said: 'Our Help to Buy scheme and the recent cut in stamp duty are helping more young first-time buyers get on the property ladder.

"But we're also helping to ensure that everyone has a safe and decent home by giving councils stronger powers to crack down on bad landlords and consulting on stronger protections for tenants themselves".

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