Build-To-Let 'Solution' To Housing Crisis

The only solution to the UK’s housing crisis is to encourage institutional investors into the market, a group of MPs has been told. Ian Fletcher, director of policy at the British Property Federation told the Communities and Local Government select committee that institutional investors are already interested in housing and coupled with today’s political support and increased demand for rental properties, they could help meet the UK’s housing need.
The committee, which is currently hearing evidence on financing new housing supply, heard investment from pension funds and releasing public sector land could help kickstart more housebuilding. Mr Fletcher told the committee: ‘The vast majority of public land is held by local authorities, and there needs to be greater clarity on its release. Negotiating often complex and long-term deals with local authorities can be difficult, and perhaps the HCA could be introduced as an honest broker in tricky negotiations.’ He also suggested that real estate investment trusts could encourage investors. Read more on the bpf website.