Lloyds Banking Group, which is known to be investing huge sums in the UK private rental sector, has published the results of a survey which claims the public is largely unhappy about the housing market.
The Lloyds survey claims 67 per cent of the public don’t believe the housing market is currently helping people access affordable and quality homes in their area, and 48 per cent say they do not feel new homes are meeting needs of local populations.
Top concerns amongst all UK adults still include unaffordable house prices (64 per cent), lack of housing being built (47 per cent), deposit requirements (44 per cent) and a lack of availability of quality, affordable rental properties (39 per cent).
Across the UK, a substantial majority of home-owners and renters agree that house prices are the biggest issue facing the market and are sceptical that the industry can adapt and deliver the affordable, quality homes the UK needs as it recovers from the pandemic.
Esther Dijkstra of Lloyds Banking Group says: “House prices and transaction volumes, even among first time-buyers, have remained strong during the pandemic. However, this research also shows that many people consider the continued strength of prices as the biggest factor preventing people from accessing quality and affordable homes.
“At the same time the pandemic is reshaping what we want from our homes, but large parts of the public feel that currently where and how homes are being built is not meeting the needs of local communities.
“Understanding these trends, particularly at a local level, will be vitally important in ensuring where and how we build homes keeps pace with changing needs of individuals and local communities. That’s why, as part of our commitment to help Britain recover, we are working across the industry to collectively work-out how we deliver the high-quality, sustainable and affordable homes that the country needs.”
The survey involved over 6,000 respondents and includes a statement saying: “Lloyds Banking Group is committed to helping Britain recover from the impacts of the coronavirus pandemic by expanding the availability of affordable and quality homes, both for customers wanting to own their own home and for customers wanting to rent a home.”
Earlier this week Lloyds let it be known that it was considering quadrupling its initial investment in the private rental sector.
In June the mainstream press revealed that under a plan called Project Regeneration the bank would buy and manage a range of new build and existing properties across there UK, through a purpose-created subsidiary called Citra Living.
It is reported to be keen to use its low funding costs, brand recognition and knowledge of the housing market to become a major operator in the private rental market. It is thought that becoming a landlord could allow Lloyds to sell other products to tenants, such as insurance or loans for deposits.
Now the Financial Times says the new chief executive of the banking group, Charlie Nunn, is considering quadrupling the budget of Citra Living, raising it to an initial £1bn from £250m.