Union calls for more council homes as average house price to earnings ratio hits 9.2

The GMB union has put its weight behind Labour pledges to build more council houses after research showed average house prices in the east of England have reached 9.2 times average earnings.

The analysis by the London region of the GMB, based on Land Registry house prices and ONS earnings data, showed that in the Eastern region as a whole, the average house price in March 2017 was £277,127 which is 9.2 times the average full-time earnings for the area of £30,000.

The situation was most extreme in Three Rivers where average house prices are 15.9 times average earnings, followed by 15.1 in Hertsmere, 13.6 in Cambridge, 13.4 in St Albans and 12.9 in Epping Forest.

Overall, the house price to earnings ratio was 8.2 on average across the whole of England.

Perhaps unsurprisingly, Warren Kenny, GMB London region secretary, said these stats show the electorate should back Labour at the General Election due to its pledges to build 1m homes in the next Parliament, half of which would be council houses.

He said: “GMB London region analysis of average house prices to average earnings in the east of England shows that the aspirations of working people on average earnings and below to own their own homes is no longer achievable.

“The Labour Party election manifesto pledges to build 1m homes in the next Parliament with half of them council housing. These figures show that more council homes for rent in all council areas are absolutely essential.

“GMB is calling on the electorate in the east of England to get behind their Labour Party candidates in the area to realise this manifesto commitment.

“We have been talking about this problem for far too long. There can be no excuses for not providing housing to people that they can afford to live in on average wages.”

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One Comment

  1. jeremy1960

    Aren’t we all going to get free houses, free food, 200 days holiday, early closing on Fridays and free chocolate if Mr c gets in on Thursday anyway?

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