Affordability of Home Ownership

Housing, Communities and Local Government Committee Open Inquiry
Opened: 17 Jul 2025 Parliament page
The Housing, Communities and Local Government Committee is holding an inquiry into the affordability of home ownership. Its focus is on people who are looking to buy property for themselves and their families to live in (owner-occupier), as opposed to those who purchase property to rent out as private accommodation … Read more
4 Recommendations
28 Conclusions
1 Report
4 Oral sessions
8 Letters
4 Events
Activity timeline 13 events
16 Jul
2026
Correspondence
9 Jun
2026
Report published
29 Apr
2026
Correspondence
11 Mar
2026
Correspondence
10 Feb
2026
Oral evidence
4 Feb
2026
Correspondence
7 Jan
2026
Correspondence
7 Jan
2026
Correspondence
6 Jan
2026
Oral evidence
26 Nov
2025
Correspondence
18 Nov
2025
Oral evidence
6 Nov
2025
Correspondence
Oral evidence sessions 4 sessions
10 Feb 2026
View on parliament.uk
Oral Evidence
Alanna Barber · HM Treasury Lucy Rigby KC · HM Treasury Lucy Rigby KC MP · HM Treasury Matthew Pennycook MP · Ministry of Housing, Communities and Local Government Melanie Montanari · Ministry of Housing, Communities and Local Government
6 Jan 2026
View on parliament.uk
Oral Evidence
Beth Rudolf · Home Buying and Selling Council David O'Leary · Home Builders Federation Joe Pepper · PEXA UK Paul Rickard · Pocket Living Steve Collins · Rentplus-UK Timothy Douglas · Propertymark
18 Nov 2025
View on parliament.uk
Oral Evidence
Ann Santry · New Homes Quality Board Charles Roe · UK Finance Henry Jordan · Nationwide Robin Fieth · Building Societies Association Stephanie Charman · Association of Mortgage Intermediaries Sue Phillips · Shared Ownership Resources Will Jeffwitz · National Housing Federation
28 Oct 2025
View on parliament.uk
Oral Evidence
Peter Levell · Institute for Fiscal Studies Sophie Hale · Resolution Foundation Stanimira Milcheva · University College London Vicky Spratt · The i Paper
Title HC No. Published Items Response
2nd Report – Affordability of Home Ownership HC 41 9 Jun 2026 32 Pending
Recommendations & Conclusions
32 results
1 Conclusion
2nd Report – Affordability of Home…
The price of homes in England has risen faster than wages and inflation, and the...
The price of homes in England has risen faster than wages and inflation, and the average home now costs more than seven times the average income; in the 1990s, the average home cost less than four times the average income. … Read more
Ministry of Housing, Communities and Local Government
View details
2 Conclusion
2nd Report – Affordability of Home…
The affordability of home ownership is a complicated and multivariant problem, with no easy or...
The affordability of home ownership is a complicated and multivariant problem, with no easy or straightforward solutions. Demand-side solutions cannot work in isolation (as they often counterproductively increase house prices as a secondary effect), but supply-side solutions also are not … Read more
Ministry of Housing, Communities and Local Government
View details
3 Conclusion
2nd Report – Affordability of Home…
Many government departments have roles to play in tackling housing affordability in this country.
Many government departments have roles to play in tackling housing affordability in this country. We support the cooperation we have seen to date between the Ministry for Housing, Communities and Local Government (MHCLG) and HM Treasury, including in response to … Read more
Ministry of Housing, Communities and Local Government
View details
4 Conclusion
2nd Report – Affordability of Home…
Support from family, often called the bank of mum and dad, is a major part...
Support from family, often called the bank of mum and dad, is a major part of the current housing market for first-time buyers. This entrenches inequality in the sector, with home ownership resembling an inherited characteristic: a young person’s chance … Read more
Ministry of Housing, Communities and Local Government
View details
5 Conclusion
2nd Report – Affordability of Home…
We support the government’s aims to improve rates of homebuilding to address historical under-supply of...
We support the government’s aims to improve rates of homebuilding to address historical under-supply of homes and address the chronic unaffordability of home ownership, but we remain concerned that at current rates the government will not hit its target of … Read more
Ministry of Housing, Communities and Local Government
View details
6 Recommendation
2nd Report – Affordability of Home…
To demonstrate its progress to improving the affordability of home ownership, MHCLG should, before the...
To demonstrate its progress to improving the affordability of home ownership, MHCLG should, before the start of the summer parliamentary recess publish annual homebuilding targets for each remaining year of the Parliament. These should show how government expects homebuilding to … Read more
Ministry of Housing, Communities and Local Government
View details
7 Conclusion
2nd Report – Affordability of Home…
Most homebuilding is currently done by private sector builders, primarily the larger organisations.
Most homebuilding is currently done by private sector builders, primarily the larger organisations. Homebuilders have been criticised for not building homes at the socially optimal rate, which they have said is because of high costs (some caused by government policies) … Read more
Ministry of Housing, Communities and Local Government
View details
8 Conclusion
2nd Report – Affordability of Home…
MHCLG must write to us before the summer parliamentary recess, and then six-monthly thereafter, setting...
MHCLG must write to us before the summer parliamentary recess, and then six-monthly thereafter, setting out what actions it has taken to increase homebuilding rates by private developers, its progress so far, and the levels of cooperation it has received … Read more
Ministry of Housing, Communities and Local Government
View details
9 Conclusion
2nd Report – Affordability of Home…
At their peak, local authorities contributed over 40 times as many home completions per year...
At their peak, local authorities contributed over 40 times as many home completions per year as they do now, but the homebuilding landscape has fundamentally changed since then and we consider those former levels of local government homebuilding will be … Read more
Ministry of Housing, Communities and Local Government
View details
10 Recommendation
2nd Report – Affordability of Home…
The government must provide local authorities with the necessary clarity for future borrowing by extending...
The government must provide local authorities with the necessary clarity for future borrowing by extending the Housing Revenue Account rate of borrowing from the Public Works Loan Board at least two years into the future on a rolling basis. (Recommendation, … Read more
Ministry of Housing, Communities and Local Government
View details
11 Conclusion
2nd Report – Affordability of Home…
Government bodies and developers will not be able to maximise the increase to the supply...
Government bodies and developers will not be able to maximise the increase to the supply of homes through homebuilding unless they also consider the types, tenures, prices and sizes of homes being delivered. While it is true that many areas … Read more
Ministry of Housing, Communities and Local Government
View details
12 Conclusion
2nd Report – Affordability of Home…
While it is right for planning decisions to be driven primarily by local authorities through...
While it is right for planning decisions to be driven primarily by local authorities through the production of local plans, MHCLG still has an important role in ensuring that new homes being built are sufficiently varied by type, tenure, size … Read more
Ministry of Housing, Communities and Local Government
View details
13 Conclusion
2nd Report – Affordability of Home…
MHCLG’s new and upcoming guidance on local plan-making is welcome, but in addition to guidance...
MHCLG’s new and upcoming guidance on local plan-making is welcome, but in addition to guidance for how local plans should be prepared it should provide guidance for what local plans should include, which local authorities can then interpret for their … Read more
Ministry of Housing, Communities and Local Government
View details
14 Conclusion
2nd Report – Affordability of Home…
MHCLG should initiate a review into different mixes of home around the country, including by...
MHCLG should initiate a review into different mixes of home around the country, including by tenure, type and price, to assess what impact different mixes have on local absorption rates. This review should consider developments for sale since the start … Read more
Ministry of Housing, Communities and Local Government
View details
15 Conclusion
2nd Report – Affordability of Home…
There are at least hundreds of thousands of residential properties that are currently empty, many...
There are at least hundreds of thousands of residential properties that are currently empty, many of which have been empty for many months or years. While the number of empty homes is much smaller than the total number of new … Read more
Ministry of Housing, Communities and Local Government
View details
16 Conclusion
2nd Report – Affordability of Home…
Government must make it easier for councils to take control of empty properties in their...
Government must make it easier for councils to take control of empty properties in their local authorities. This should include clarifying councils’ existing powers, such as Empty Dwelling Management Orders and Compulsory Purchase Orders; making the existing powers less risky … Read more
Ministry of Housing, Communities and Local Government
View details
17 Conclusion
2nd Report – Affordability of Home…
There are mixed views about what makes housing affordable, and no statutory definition of affordable...
There are mixed views about what makes housing affordable, and no statutory definition of affordable housing. The main official definition, in the National Planning Policy Framework, is not reflective of the housing needs in the country. While we support the … Read more
Ministry of Housing, Communities and Local Government
View details
18 Recommendation
2nd Report – Affordability of Home…
The government should clearly and officially define affordable housing in a way that can be...
The government should clearly and officially define affordable housing in a way that can be used for all relevant purposes, not just as part of the planning system. The definition should refer to local average income levels instead of just … Read more
Ministry of Housing, Communities and Local Government
View details
19 Conclusion
2nd Report – Affordability of Home…
Shared ownership is a useful tool for getting people into home ownership, but it is...
Shared ownership is a useful tool for getting people into home ownership, but it is not a long-term affordable option for many of the buyers to whom it is marketed. We welcome the government’s announcement of improvements to the shared … Read more
Ministry of Housing, Communities and Local Government
View details
20 Conclusion
2nd Report – Affordability of Home…
The government is right to prioritise social rent as the main form of truly affordable...
The government is right to prioritise social rent as the main form of truly affordable housing, but this should not lead to it entirely neglecting intermediate housing such as Rent to Buy and Discount Market Sales, which are intended to … Read more
Ministry of Housing, Communities and Local Government
View details
21 Conclusion
2nd Report – Affordability of Home…
We echo concerns voiced by the Committee of Public Accounts that an unacceptable number of...
We echo concerns voiced by the Committee of Public Accounts that an unacceptable number of homes constructed through Section 106 agreements remain unsold to registered providers of social housing, and welcome the fact that MHCLG is developing a policy package … Read more
Ministry of Housing, Communities and Local Government
View details
22 Conclusion
2nd Report – Affordability of Home…
Before the summer parliamentary recess, MHCLG must update us on its progress in developing and...
Before the summer parliamentary recess, MHCLG must update us on its progress in developing and implementing its new policy package to address issues in the Section 106 market. (Recommendation, Paragraph 95) Mortgage finance and other lending
Ministry of Housing, Communities and Local Government
View details
23 Conclusion
2nd Report – Affordability of Home…
Mortgages are a vital part of the housing market in this country, and as such...
Mortgages are a vital part of the housing market in this country, and as such a necessary component of improving access to home ownership to first-time buyers. The increased availability of high-Loan to Value mortgages can make it possible for … Read more
Ministry of Housing, Communities and Local Government
View details
24 Conclusion
2nd Report – Affordability of Home…
Government must work with mortgage providers and regulators to ensure that renters cannot be denied...
Government must work with mortgage providers and regulators to ensure that renters cannot be denied a mortgage on the grounds of affordability despite evidence of consistent payment of rent at higher monthly values than they would be paying in mortgage … Read more
Ministry of Housing, Communities and Local Government
View details
25 Conclusion
2nd Report – Affordability of Home…
The Mortgage Guarantee Scheme, made permanent by the current government, is having a negligible effect...
The Mortgage Guarantee Scheme, made permanent by the current government, is having a negligible effect on the availability of high- Loan to Value (LTV) mortgages in the current market and on the affordability of home ownership. It may have a … Read more
Ministry of Housing, Communities and Local Government
View details
26 Conclusion
2nd Report – Affordability of Home…
HM Treasury must monitor, and annually publish, the costs of maintenance of the Mortgage Guarantee...
HM Treasury must monitor, and annually publish, the costs of maintenance of the Mortgage Guarantee Scheme, as well as the impact that it is having on mortgage rates, to ensure that it remains value for money. These could be included … Read more
Ministry of Housing, Communities and Local Government
View details
27 Conclusion
2nd Report – Affordability of Home…
We support the efforts of the government and regulators to ease prudential and financial regulations,...
We support the efforts of the government and regulators to ease prudential and financial regulations, encourage growth and support first-time buyers, as long as adequate care is taken when doing so. In particular, limiting mortgages to 4.5 times a borrower’s … Read more
Ministry of Housing, Communities and Local Government
View details
28 Conclusion
2nd Report – Affordability of Home…
The Lifetime ISA has helped many first-time buyers to own a home, but aspects of...
The Lifetime ISA has helped many first-time buyers to own a home, but aspects of its design have limited its effectiveness in tackling housing affordability. These aspects include the Lifetime ISA’s nature as a hybrid product supporting both homebuying and … Read more
Ministry of Housing, Communities and Local Government
View details
29 Conclusion
2nd Report – Affordability of Home…
The announced replacement product for the Lifetime ISA must focus specifically on supporting home ownership,...
The announced replacement product for the Lifetime ISA must focus specifically on supporting home ownership, should not risk people losing their initial investments in the event of changing situations, and should not have a price cap that prevents its use … Read more
Ministry of Housing, Communities and Local Government
View details
30 Conclusion
2nd Report – Affordability of Home…
The Help to Buy programme helped many people into home ownership, and encouraged housebuilding, but...
The Help to Buy programme helped many people into home ownership, and encouraged housebuilding, but contributed to higher home prices and therefore exacerbated the housing affordability crisis overall. While some form of demand-side incentive may be necessary, it would not … Read more
Ministry of Housing, Communities and Local Government
View details
31 Conclusion
2nd Report – Affordability of Home…
Stamp Duty Land Tax is a transaction tax that puts barriers in front of people...
Stamp Duty Land Tax is a transaction tax that puts barriers in front of people seeking to buy a new home. Despite a discount for first-time buyers, Stamp Duty Land Tax reduces the affordability of home ownership, slows the property … Read more
Ministry of Housing, Communities and Local Government
View details
32 Recommendation
2nd Report – Affordability of Home…
MHCLG and HM Treasury must begin the process of reforming Stamp Duty Land Tax to...
MHCLG and HM Treasury must begin the process of reforming Stamp Duty Land Tax to improve affordability. Before the end of the calendar year, the government should launch a consultation into potential alternatives to the current tax, which should consider … Read more
Ministry of Housing, Communities and Local Government
View details
Correspondence 8 letters
16 Jul 2026 To committee Letter from the Minister of State for Housing and Planning and the Parliamentary Under-Secretary of State for Housing and Local Government to the Chair dated 13 July 2026 concerning the home buying and selling process
Parliament page
29 Apr 2026 To committee Letter from the Chair to the Minister of State for Housing and Planning dated 27 April 2026 concerning the home buying and selling process
Parliament page
11 Mar 2026 To committee Letter from the Minister of State for Housing and Planning and the Economic Secretary to the Treasury to the Chairs of the HCLG and Treasury Select Committees dated 27 February 2026 following up oral evidence given on 10 February
Parliament page
4 Feb 2026 To committee Letter from the Home Builders Federation to the Chair dated 23 January 2026 concerning the Affordability of Home Ownership
Parliament page
7 Jan 2026 To committee Letter from Nationwide to the Chair dated 1 December 2025 concerning the Affordability of Home Ownership
Parliament page
7 Jan 2026 To committee Letter from the Building Societies Association to the Chair dated 1 December 2025 concerning the Affordability of Home Ownership
Parliament page
26 Nov 2025 To committee Letter from the Secretary of State to the Chair dated 20 November 2025 concerning support for housebuilding in London
Parliament page
6 Nov 2025 To committee Letter from the Chair to the Secretary of State dated 6 November 2025 concerning support for housebuilding in London
Parliament page