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BUDGET REACTION: 'USE NEW HOUSING SUPPLY TO STIMULATE DEMAND IN AREAS OF ABANDONMENT'

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The Chartered Institute of Housing has welcomed Gordon Brown's Budget announcement of a review of housing supply in...
The Chartered Institute of Housing has welcomed Gordon Brown's Budget announcement of a review of housing supply in the UK but believes that future housing provision and economic growth should also be geared to stimulate demand in areas outside the south east.

The chancellor has commissioned Kate Barker, a member of the Bank of England's monetary policy committee to conduct the review. This coincides with the deputy prime minister's announcement yesterday of a series of reforms to the planning process aimed at delivering more housing. The CIH is offering to work with Kate Barker to feed in the experience and expertise of its members for all sectors and parts of the country.

Although the CIH welcomes moves to increase the supply of housing, it is concerned that the government's focus of reacting to existing patterns of demand may in fact exacerbate the problems by increasing pressure in the south east and potentially creating further abandonment in the north.

Sarah Webb, CIH policy director said:

'There are areas outside the south east that could easily be attractive to businesses and that could accommodate new housing in sustainable communities - what these areas need is more not less support '

CIH is also concerned to make sure that we learn the lessons from previous periods of volume building.

CIH policy director Sarah Webb said: 'It is OK to aim for volume building but we mustn't create the slums of tomorrow by adopting the housing equivalent of a 'bums on seats' approach.'

Notes

The Chartered Institute of Housing is the only professional organisation representing all those working in housing. Its purpose is to maximise the contribution that housing professionals make to the well being of communities.

The Chartered Institute has over 17,000 individual members working for local authorities, housing associations, the Rent Service, educational establishments and the private sector.

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