Affordable Housing: A Fair Deal for Rural Communities

The issue of housing shortages is a pervasive problem across the UK, but it is particularly acute in rural communities. These areas face unique challenges that exacerbate the housing crisis, making it even more difficult for local residents to find affordable and suitable homes. This write-up will delve into the specific difficulties faced by rural communities, the factors contributing to these challenges, and the progress made in addressing these issues over the past decade. By examining the data and reports available, we can gain a clearer understanding of the current state of housing in rural areas and the steps needed to improve the situation for future generations.

One of the most significant challenges faced by rural communities is the high cost of housing. On average, rural house prices are 26% higher than those in urban areas. This disparity is largely due to competition from commuters, retirees, and second homeowners who are willing to pay a premium for the idyllic lifestyle that rural areas offer. This increased demand drives up prices, making it difficult for local residents, especially those on lower incomes, to afford homes in their own communities. Source

In addition to higher house prices, rural communities also face the challenge of lower local earnings. The average income in rural districts is £19,700, compared to £26,900 in major urban areas. This significant difference in earnings means that rural residents have less disposable income to spend on housing, further exacerbating the affordability problem. The combination of high housing costs and low incomes creates a perfect storm, making it nearly impossible for many rural residents to purchase or rent homes within their means. Source

Another contributing factor to the housing crisis in rural communities is the limited availability of social housing. Only 12% of the rural housing stock is designated as social housing, compared to 19% in urban areas. This discrepancy is partly due to higher levels of Right to Buy sales, which have reduced the overall stock of social housing in rural areas. The lack of affordable housing options means that many rural residents, particularly those on lower incomes, are left with few choices when it comes to finding a place to live. Source

Given the unique challenges faced by rural communities, the need for affordable housing is more critical than ever. Even with the low national targets for new affordable homes, the fair share for rural areas, relative to population, should be no less than 7,500 homes per year. However, in 2013, only 2,886 new affordable homes were built in rural areas. This significant shortfall highlights the urgent need for more investment and policy changes to address the housing crisis in rural communities. Source

Over the past decade, a series of excellent reports have been published, making a compelling case for more affordable rural housing. These reports have provided valuable insights and recommendations on how to address the housing crisis in rural areas. However, despite these efforts, the situation for the next generation who need to live and work in rural communities has become even tougher in recent years. Source

Our review has considered whether progress has been made in implementing the recommendations from these reports. Unfortunately, the evidence suggests that the position facing the next generation has not improved significantly. The lack of progress can be attributed to a combination of factors, including insufficient funding, bureaucratic hurdles, and a lack of political will to prioritize rural housing needs. Source

The housing crisis in rural communities is a complex and multifaceted issue that requires urgent attention and action. The combination of high house prices, low local earnings, and limited social housing options has created a situation where many rural residents are struggling to find affordable and suitable homes. While there have been numerous reports and recommendations over the past decade, progress in addressing these issues has been slow and insufficient. To ensure that future generations can live and work in rural areas, policymakers, local authorities, and housing providers must work together to develop and implement effective solutions. Only through concerted effort and commitment can we hope to create a more equitable and sustainable housing landscape in rural communities. Source