Partly due to its success in attracting jobs and talent, demand for housing in London has outstripped supply and now home ownership is unaffordable for many households. In a well-functioning market, increases in house prices should incentivise large scale housing development. But this simply has not happened.
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Last month the government released its Housing White Paper ‘Fixing our Broken Housing Market’; the title is an ambitious promise. The industry response to the White Paper was fairly consistent: it was welcome movement in the right direction but it was too little too late. In short,
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