Lit­tle hope of a home for pub­lic work­ers

Wales On Sunday - - NEWS -

OWN­ING a home has be­come “vir­tu­ally im­pos­si­ble” for many pub­lic sec­tor work­ers, as wage rises fail to keep up with soar­ing house prices and rents, says a re­port.

Re­search by Uni­son found that a down pay­ment on a prop­erty would take decades to save for by pub­lic sec­tor staff – and more than a cen­tury in parts of Lon­don.

Af­ter the pay of NHS clean­ers, teach­ing as­sis­tants, li­brar­i­ans, nurses and po­lice com­mu­nity sup­port of­fi­cers were stud­ied, a re­port found that it would take at least 14 years to save a de­posit for a first-time buyer in Eng­land, Wales and Scot­land.

In Lon­don’s Kens­ing­ton and Chelsea, it would take 132 years.

The re­port, Priced Out, said an NHS cleaner in Lon­don earn­ing £21,786 a year would need to bor­row an av­er­age of 16.5 times their salary for a mort­gage to buy their first home.

A teach­ing as­sis­tant on £19,446 in the south-east of Eng­land would have to bor­row 11 times their an­nual wage.

Uni­son said ob­tain­ing a mort­gage was now “com­pletely unattain­able” for some pub­lic sec­tor work­ers.

Uni­son gen­eral sec­re­tary Dave Pren­tis said: “De­posits and mort­gages are quite sim­ply way out of reach, while the spi­ralling cost of rent­ing is eat­ing up a grow­ing pro­por­tion of take-home pay.

“Wage rises haven’t kept pace with soar­ing house prices and rents, and the sit­u­a­tion looks set to worsen.

“De­ci­sive, creative and re­spon­si­ble ac­tion is needed.”

A Gov­ern­ment spokesman said: “Last year saw the high­est num­ber of first-time buy­ers for over a decade. Through our Help to Buy scheme and the cut in stamp duty for first-time buy­ers we are help­ing re­store the dream of home own­er­ship.”

Newspapers in English

Newspapers from UK

© PressReader. All rights reserved.