Spiralling prices add to crisis in north east
The north east of England is facing a mounting housing crisis with prices rising faster than any other part of the country, according to a new report.
The study from the National Housing Federation shows house prices in the north east rose 106 per cent between 2001 and 2006. It says that far too few homes are currently being built in the region.
'The situation is being exacerbated by a lack of housing supply,' the study states. 'The latest household projections suggest the north east is planning around 20 per cent too few new homes.
'Witness our spiralling housing waiting lists, up 67 per cent in five years, and with one in every 12 north east families now waiting for a social home,' it adds.
The report says that on average a house in the north east costs more than eight times the average income. House prices in the region have risen five times faster than incomes since 1997 - 150 per cent compared with 30 per cent.