By Emily Goldberger
The UK housing market is currently in a crisis. The lack of social housing and unaffordable rent prices mean that people are finding it increasingly difficult to find suitable accommodation. This problem has manifested itself in Nottingham where there has been a notable rise in homelessness, and an increasing number of individuals and families who are struggling to cope in the current climate. No one is exempt from these hardships, and we spoke to Nottingham East MP, Nadia Whittome about how the housing crisis and homelessness are affecting her own constituents.
Based on evidence from this interview and other research, this report will investigate how the housing crisis and homelessness are intrinsically linked to decipher what further measures are needed to resolve these problems. It will look at the role that the voluntary sector and local councils play in these crises and discuss how they are affected by policy decisions. The report will also look at what action can be taken to help citizens who are struggling and will include a section on youth homelessness that will help to understand the unique problems that young people face and attempt to identify youth tailored solutions that can help them.
Why is there a housing crisis in the UK?
There are a multitude of factors that have contributed to the ongoing housing crisis in the UK. Whittome explains that “There are immediate problems and long-term problems that require long-term solutions.” Poverty, the rental market, and the lack of affordable housing are all issues which mean that fewer people can afford to buy a home; however, the root cause of the housing crisis is the lack of available social housing. Social housing is provided by councils and housing associations for those who are in housing need but under the current system in the UK, it is becoming increasingly scarce. This is because not enough homes are being built to replace those that are being taken out of the social housing stock. The Right to Buy scheme which allows tenants to buy their council homes at a discounted price has majorly contributed to this problem.
Whittome details this, “A big problem is that there just isn’t enough council housing, largely because more of that is being sold off under right to buy.” The shortage of social housing is further exacerbated by the lack of affordable housing in the private sector. As fewer people are able to find suitable accommodation, growing numbers are forced to turn to social housing as a last resort, which adds more pressure on to an already overstretched system. This problem is evidenced by statistics from Crisis UK (2024) which show that the number of social rented homes in England fell between 2012-2016, taking the total number below 4 million. This number has since risen which illustrates the dire situation of social housing in the UK and highlights why the problem must be addressed urgently to prevent the number of people who are vulnerable to homelessness from rising.
How is the housing crisis affecting Nottingham?
The wider housing crisis across the UK has manifested itself in Nottingham where sky-high mortgage rates are stopping a lot of first-time buyers from getting on the housing ladder. This is happening at a time when there are over 1 million people waiting for a council house whilst the number of social homes available is falling. Whittome says that her own constituents have been affected really badly, “Lot’s of families are stuck in temporary accommodation. They are stuck in hotels, or bed and breakfasts and some have to move between different hotels sometimes even on a weekly basis.”
No one is exempt from the housing crisis; it affects individuals from all walks of life as the lack of availability, affordability, and quality of housing makes finding suitable accommodation difficult for everyone. This is a demand that local councils simply cannot keep up with, as evidenced by the BBC (2023) who state that in 2023, Nottingham City Council was spending around £22,000 per day on housing people in temporary accommodation. This is costing councils a lot of money at a time when local authorities are experiencing significant cuts in resources.
The pressure on local councils is immense and this is something that we discussed with Whittome who says that councils “have got nowhere near the resources that they need. We have had £100 million cut every year under the Tories. Funding needs to be restored.” The support offered by the local council in the form of housing aid (Nottingham City Council, 2024), and measures like the No Second Night Out policy (Nottingham City Council, 2024) is invaluable for vulnerable people. This means that funding cuts to local government are devastating for those in society who are most at risk and rely on these kinds of measures.
The voluntary sector also provides essential support to vulnerable people. The sector is active within Nottingham where there are lots of charities and organisations working to support homeless people, including, New Ethos Nottingham (2020), Emmanuel House (2024), and Framework (2024). Voluntary organisations and charities aim to incorporate vulnerable people back into society and they offer support in many ways from providing mental health services to activities programmes. This makes the work of the voluntary sector invaluable for vulnerable people, but they too have been impacted by policy decisions taken over recent years which has made it more difficult for them to provide the vital support needed. Whittome attributes the challenges faced by the voluntary sector to austerity measures which she says has really hit them hard.
Policy choices made by the previous Conservative government have undoubtedly contributed to the current problems that we are seeing today. In a BBC article (2024), the homeless charity Framework attribute the record numbers of homeless people to policy decisions taken over the last decade that relate to reduced social housing, and cuts to public health. As the current crises relate to policy decisions, this means that the government also has the potential to pass legislation that can help to fix the problems. Thus, action from the central government is needed urgently to ensure that local councils and charities have the resources that they need to cope in the current circumstances.
How do we address the housing crisis?
Policy choices can go a long way in addressing the problems. At a national level, the central government is implementing changes that attempt to address the housing crisis and help vulnerable people. They recently passed the Renters Rights Bill (Ministry of Housing, Communities & Local Government, 2024) which included several measures to address problems in the rental sector, such as abolishing no-fault evictions. These measures will help to tackle exploitative landlords and would massively redress the power imbalance between landlords and tenants. However, many argue that these measures do not go far enough, Nadia Whittome is amongst these people. Whilst she welcomes the Bill and the huge change that it will bring, she also calls for further action with the main demand being rent controls. She says, “rent controls are needed; that would stop people from being evicted by the back door.” The government has also pledged to build 1.5 million new homes which will go some way in addressing the housing crisis. However, a report by the Levelling Up, Housing and Communities Committee (2024) suggested that we need to be building 90,000 new social homes per year. This figure is echoed by Whittome who argues that “it needs to be at least that number.”
The actions taken by the Labour government are important, but they are not enough. To properly address the problems, the government need to commit to building far more social homes and putting greater protectionist measures in place to keep homes in the private rental sector affordable so that more people have access to suitable accommodation. Unless the Labour government properly commit to these measures, the current crises created by the previous Conservative government will continue to affect people across the UK making action both necessary and important.
How are young people affected by homelessness?
Young people who are homeless experience unique challenges. Action for Children (2023) detail this explaining that young people are highly likely to experience loneliness and isolation. This is because it may be the first time that they find themselves cut off from their friends and family, which is especially challenging given that young people still need support and guidance to make healthy choices. This makes these young people especially vulnerable, which means that they are more likely to become victims of violence and exploitation by others. Another unique challenge for homeless young people is a disrupted education. Homelessness can prevent young people from being able to concentrate in class or attend school at all. This makes it nearly impossible for them to break the cycle of homelessness as they may also find it more difficult to get a job.
The charity Homeless Link (2024) provide further details. They claim that young homeless people face multiple forms of structural disadvantage. For example, they are at a disproportionate risk of poverty, receive reduced welfare benefits, have a lower minimum wage, and face discrimination in the labour market. Policies often discriminate against young people and so youth-tailored solutions are required to meet their needs. Whittome argues that the best way to do this is to put young people’s voices at the centre of policy making, “People who have lived experience and particularly current lived experience of the consequences of political failings should have actual power, and their recommendations should be properly put into policy making rather than a tick box exercise of listening to what people say and doing nothing about it.”
Is there a solution to the housing crisis?
It is clear that the problems within the housing sector in Nottingham and across the UK need to be addressed. The high rent and mortgage prices combined with the lack of social homes available is forcing more people into poverty and homelessness. Homelessness is detrimental to every aspect of a person’s life from mental and physical wellbeing to education and job opportunities. It affects the most vulnerable people, for example, young people who are more at risk and may find it difficult to escape the cycle of homelessness and poverty. Steps have been taken by local authorities and the central government to address the housing crisis, but these actions are not enough.
Nadia Whittome explains that the current problems stem from the way that the system is shaped, “with the trajectory that the system is on, people’s wages would have to be rising at an exponential rate to match what landlords are doing to rent.” Further steps are necessary to lower prices, and the government must commit to building 90,000 new social homes every year, they must restore funding to local councils, and they must enhance renter’s rights. This will help to protect the most vulnerable people and will prevent others from being exposed to homelessness which is why action is necessary, urgent, and important.