LABOUR’S 1.5M HOMES WOULD BOOST BRITAIN BY £23BILLION
..if they’re built to top energy efficiency standard
LABOUR’S plan to build 1.5 million homes in their first five years in power will boost the economy by billions, according to campaigners’ research.
And if they are made to the top energy efficiency standards, where housing costs are the highest, that fillip could be as much as £22.5billion, says Britain Remade.
It would also hand the Treasury a £9.2bn tax windfall, as well as supporting 132,000 homebuilding jobs and 79,000 supply chain roles.
Should Labour gain power and go through with the plan to increase the number of homes being built, it would slow house price rises, freeing up money for Britons to spend on other goods and services.
Expensive housing in the most sought-after locations is holding back economic growth, as people are being priced out of moving within reach of better jobs.
More housebuilding would also increase the amount the Treasury takes in from stamp duty.
Sam Richards, the Campaign Director of Britain Remade, said it had never been so difficult for young people to get on to the housing ladder in the UK.
He added: “The last time house prices were this high relative to the average salary, Queen Victoria was on the throne. Building homes we desperately need will not only mean young people get on the housing ladder and boost the economy.
“It will also provide Labour, if they win the next election, with the firepower needed to deliver more of the green prosperity plan.
“The country has been through a horrible couple of years so fiscal credibility is important. But Keir and [Shadow Chancellor] Rachel Reeves should not lose sight of the huge economic benefits of building the homes we need.
“Building homes to the highest energy efficiency standards rather than just the average, which sadly is all most builders do, will make a meaningful impact on emissions.”
The policy would have benefits for young people, the economy and the environment, he added.
Labour leader Keir Starmer and his deputy Angela Rayner visited a newbuild housing project in Shrewsbury, Shrops, on Monday.
Mr Starmer said he hoped his party’s homebuilding plans would help to “reverse years of Tory economic decline”.