Friday, 31 May 2013

Rising house prices harming economic growth say employers


Rising rents and house prices are hitting economic growth by making it difficult to recruit, warn companies.
Nearly four in five employers questioned across England believe that a lack of affordable housing is stalling economic growth in local communities, the National Housing Federation found.
This comes as prices in areas like London soar above pre crash levels - pricing many people out of the market.
Some 79% of more than 1,000 managers surveyed said that building more homes would stimulate the local economy and 72% thought it would encourage more customers into their area.
Around 78% of managers also agreed that house prices are a "problem" in their local area and 58% said building more homes would help staff recruitment and retention.
National Housing Federation director Gill Payne said: "Our economic recovery is being held back because there aren't enough homes in England today, and this lack of homes has pushed up prices and rents beyond people's reach.
"As a result, businesses are finding it tough to attract workers and expand because many people can't buy a home or would struggle to pay high rents. If things don't change, employers will simply move - potentially out of the country - taking away desperately needed jobs."

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