People living in Sheffield need a 62% pay rise to afford to buy a home
The average full-time worker in Sheffield now needs a staggering pay rise of 62% just to afford a mortgage on a typical home in the region, a new report from the National Housing Federation reveals today.
According to the ‘Yorkshire and the Humber Home Truths 2017/18’ report, those earning any less than £40,580 a year are now priced out of buying the average home in the area.
Despite regional house prices being lower than the national average, the combination of low wages, an above-average unemployment rate and job insecurity is resulting in an acute housing crisis in the area.
Local salaries have failed to keep up with house prices, meaning the average home in Sheffield – costing £177,538 – is now over seven times the average yearly income of £24,991
The report also exposes the severe shortfall of new homes in recent years. Between 2012 and 2016, there were nearly 36,000 too few homes built across Yorkshire and the Humber to keep up with demand, with South Yorkshire alone being 6,500 homes short.
South Yorkshire Housing Association has plans to build 1,180 homes by 2021, and in 2017 alone built 73 new homes in the region.
Tony Stacey, Chief Executive of South Yorkshire Housing Association, said: “We tend to talk as though there is just one housing crisis, but it takes many different forms. It is not just about the impossibility of affording a home in London or people sleeping rough.
“For far too many local people, affordable housing is simply out of reach. We should expect more from both national and local politicians to find solutions that work for all sections of society here in Sheffield.”
To read the Yorkshire and the Humber Home Truths 2017/18 report in full visit www.housing.org.uk/hometruths