Reynolds: re-elect the Tories and average house prices could be 13 times the average wage

Emma Reynolds – Shadow Minister for Housing – will today warn voters that another five years of a Conservative government could be disastrous for Britain’s housing crisis.

The fifth instalment of The Choice, the Labour leaderships’ series of speeches over the summer, Reynolds will reveal new figures that show if current trends that have emerged under the Tory government were to continue until 2020, a housing gap the equivalent of three cities the size of Birmingham would open up and the average house price would cost £359,000 – 13 times the average wage.

She will explain:

“While the Tories say the housing market is back on track, the truth is they’ve presided over the lowest level of house building since the 1920s. We’re not even building half the homes we need to keep up with demand.

 The Government talk up the Help to Buy scheme but it’s clear they simply haven’t understood that boosting demand without boosting supply will simply see prices pushed out of reach of families and young people. 

She will explain that Labour offer a stark contrast to the Tories’ policy, explaining that even now at a local level Labour authorities are  committed to building 862 homes a year on average, while the Tories lag behind at 508.

Things in the renting sector don’t look much better, Reynolds will highlight the fact that  “1.3 million families with children” live in the  private rented sector – they  “face the insecurity of a short six-month contract and they know they could be kicked out at two months’ notice”.  But she’ll say:

“the Tories refuse to do anything about it. They believe the market comes first, not the stability of family life.

In his last conference speech as Leader of the Opposition, David Cameron said ‘if you want to raise a family, we’ll support you.’ Perhaps in the small print it said, ‘unless you rent’. David Cameron’s warm words on supporting families will be cold comfort to a family faced with eviction.”

Reynolds will reiterate Labour’s current policy promises on housing, including their pledge to get at least 200,000 new homes built a year, legislating to create three-year tenancies and banning letting agents from charging tenants fees.