Housing boom could impact the industry over next three years
A housing boom equal to that of the 1930s could create over 200,000 new jobs over the next three years, according to the Centre for Economics and Business Research (CEBR).
The CEBR issued its forecast after using economic modelling to chart the potential impact of the government’s planning reforms.
Its findings suggest that if the annual supply of new houses was to rise from the 2010 level of 95,000 to 300,000 by 2015, GDP would receive a £75bn boost and 201,000 more permanent jobs would be created in the construction industry.
The increase in housing stock could also reduce rents by nearly 11% by 2015, and make housing more affordable for young people. According to the CEBR, lower rental costs would see the under-35s boost their living standards by 4% by 2015, and a higher percentage thereafter.