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arrears have increased by 340% following the housing benefit cuts
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grizzly1911 wrote: »As we keep growing both statements can be true.
If accommodation is not keeping pace with growth then demand can only grow. If demand grows then prices will follow unless supply is increased.
I think the gap between rich and poor is growing in income and personal wealth. I am sure the demand from the higher earners will take up the slack from the those that can't keep up.
I think the mix of property will change.
The point I was making is population can grow as much as you want, it will not put prices up if they are already more than the majority of people can afford without government help.
Benefits in general are going to be cut back every year from now on.
Not just housing benefit which only 5,000,000 households get, but Tax credits too are getting cut back. Everyone is talking about this October when Universal credit replaces TC, many households will find they have less to live on.
The age old illustration of why not buy land in a refugee camp. Lots more people than available properties, but the point many are missing in this country going forward is -It matters not how many want to live somewhere all that matters is how many have the money to do so.0 -
The point I was making is population can grow as much as you want, it will not put prices up if they are already more than the majority of people can afford without government help.
Benefits in general are going to be cut back every year from now on.
Not just housing benefit which only 5,000,000 households get, but Tax credits too are getting cut back. Everyone is talking about this October when Universal credit replaces TC, many households will find they have less to live on.
The age old illustration of why not buy land in a refugee camp. Lots more people than available properties, but the point many are missing in this country going forward is -It matters not how many want to live somewhere all that matters is how many have the money to do so.
in extremus then maybe
however if general the more people wanting something in limited supply, the higher the price
so in the case of housing, as more people are seeking the same volume of property, the price will rise because many people will choose to allocate more of their money to accommodation rather than other things. (other things being equal)
doubtless if the availability of housing benefit declines then (other things being equal) the price of accommodation will fall.
with both things happening then it depends.........0 -
The point I was making is population can grow as much as you want, it will not put prices up if they are already more than the majority of people can afford without government help.
Benefits in general are going to be cut back every year from now on.
Not just housing benefit which only 5,000,000 households get, but Tax credits too are getting cut back. Everyone is talking about this October when Universal credit replaces TC, many households will find they have less to live on.
The age old illustration of why not buy land in a refugee camp. Lots more people than available properties, but the point many are missing in this country going forward is -It matters not how many want to live somewhere all that matters is how many have the money to do so.
That 90% of HB claimants that are working presumably buy consumer items, find money for holidays, buy cars, have children etc. Presumably some of this stuff will have to stop being brought if they want shelter.
I don't necessarily agree with the way changes are being implemented but on a sinking ship priority calls have to be made. Ladies,children and wealthy people will no doubt survive."If you act like an illiterate man, your learning will never stop... Being uneducated, you have no fear of the future.".....
"big business is parasitic, like a mosquito, whereas I prefer the lighter touch, like that of a butterfly. "A butterfly can suck honey from the flower without damaging it," "Arunachalam Muruganantham0 -
The point I was making is population can grow as much as you want, it will not put prices up if they are already more than the majority of people can afford without government help.
Benefits in general are going to be cut back every year from now on.
Not just housing benefit which only 5,000,000 households get, but Tax credits too are getting cut back. Everyone is talking about this October when Universal credit replaces TC, many households will find they have less to live on.
The age old illustration of why not buy land in a refugee camp. Lots more people than available properties, but the point many are missing in this country going forward is -It matters not how many want to live somewhere all that matters is how many have the money to do so.
With that only effected unemployed people with kids in expensive areas how many people will it effect.0 -
grizzly1911 wrote: »That 90% of HB claimants that are working presumably buy consumer items, find money for holidays, buy cars, have children etc. Presumably some of this stuff will have to stop being brought if they want shelter.
I don't necessarily agree with the way changes are being implemented but on a sinking ship priority calls have to be made. Ladies,children and wealthy people will no doubt survive.
Yes as has been said most working people especially with children get tax credits.
In fact most people in the UK nowadays working or not (sickness benefit etc) get some kind of funds from the government.
In October this year Universal Credit will shake up the system and be the biggest change in generations.
The less funds going to the public the less funds available to go towards housing.0 -
Yes as has been said most working people especially with children get tax credits.
In fact most people in the UK nowadays working or not (sickness benefit etc) get some kind of funds from the government.
In October this year Universal Credit will shake up the system and be the biggest change in generations.
The less funds going to the public the less funds available to go towards housing.
Can you ans my post above0 -
With that only effected unemployed people with kids in expensive areas how many people will it effect.
I did answer it in my last post. You are talking about relatively few. What we are talking about is the majority of the population of the UK will find their income reducing every year after universal credit comes in. More cuts every year for years ahead. Sorry but its true, the level of spending to prop up the system is unsustainable.0 -
I did answer it in my last post. You are talking about relatively few. What we are talking about is the majority of the population of the UK will find their income reducing every year after universal credit comes in. More cuts every year for years ahead. Sorry but its true, the level of spending to prop up the system is unsustainable.
Explain how0 -
I did answer it in my last post. You are talking about relatively few. What we are talking about is the majority of the population of the UK will find their income reducing every year after universal credit comes in. More cuts every year for years ahead. Sorry but its true, the level of spending to prop up the system is unsustainable.
They will just have to readjust their expectations from life.
From my previous post:-
That 90% of HB claimants that are working presumably buy consumer items, find money for holidays, buy cars, have children etc. Presumably some of this stuff will have to stop being brought if they want shelter.
Removing that consumption, and channelling into housing, will impact the economy but that is another issue.
8 kids in a 2 bed property was normal back in the 20/30s."If you act like an illiterate man, your learning will never stop... Being uneducated, you have no fear of the future.".....
"big business is parasitic, like a mosquito, whereas I prefer the lighter touch, like that of a butterfly. "A butterfly can suck honey from the flower without damaging it," "Arunachalam Muruganantham0 -
grizzly1911 wrote: »8 kids in a 2 bed property was normal back in the 20/30s.
Yes I can see it becoming normal again all over the UK. Freeing up lots of supply and getting rid of lots of demand.
So the argument seems to be on the one side the property bears are saying that prices are so high people can only just afford housing costs. As incomes go down with future cuts to Tax credits/child benefit housing benefit and all when universal credit replaces them all, the bears say this will put downwards pressure on property because they are already at their high limit what people can afford.
the prop bulls seem to say people will just have to spend less on other things as housing costs go even higher than their highest limit what can be afforded. I say in many cases this is already the case, all those on one meal per day due to all their money going on housing costs.
I say to the prop bulls that the free market does not work like that. Things always correct in time. Either average incomes go up a lot (unlikely) or property costs (rent and house prices) will come down over the next few years as the cuts start to bite.0
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