Housing growth to lead employment
Published: 16 October, 2009
IPSWICH: The current improvement in housing will stimulate the economy, in turn creating jobs, according to a new in-depth housing forecast. But high house prices will have wider implications for the future economy. Moreover, we won’t be able to house the nation until the housing supply model changes.
Produced by research consultancy HobsonFord Associates and construction data specialists Barbour ABI, the Market Insights Q4 2009 report points to some recovery in housing over the next two years, but the main growth will come when the economy starts to expand and more jobs are created.
“House prices remain too high,” says Glen Ford, who heads up the Market Insights team, and closely followed trends in the housing market for the past 10 years at Tarmac, “but we see little basis for them to come down because of supply constraints and strong underlying demand. Social housing is unlikely to meet this demand. We urgently need different housing supply models, as the market won’t be able to house the nation.”
Produced by research consultancy HobsonFord Associates in collaboration with construction data specialists Barbour ABI, the report focuses on the key drivers of housing - finance, employment, house prices and affordability.
“HobsonFord have clearly identified the issues of key importance in the housing market regarding the speed of the recovery and the long term needs of the country,” comments Noble Francis, economic director of the Construction Products Association.
Market Insights includes a forecast from 2009 to 2014 on housing starts, a survey of industry professionals as well as details of the 50 leading contractors, clients and social housing projects.