News 2020

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An almost unprecedented slump in the housing market could take place within a year or two, the government think-tank Booth-Mout has warned. The slump is projected to be even worse than the previous slump two years ago, which preceded the almost unprecedented boom last year. That boom is now tailing off slightly more rapidly than the last boom but one six years ago, which tailed off into a slump which was almost unprecedented at the time.

"The simple fact of the matter is that accommodation consumers are insufficiently motivated to keep up with market developments," explained Booth-Mout spokesperson Foster Cheery.

"Many consumers attempt purchases which are within their spending power at the time," Mr Cheery continued. "This is obviously a very short-sighted way of going about it, particularly in such an important area."

Today's highly flexible and mobile economic climate means that prices and purchasing power can both change at short notice, making it vitally important for accommodation seekers to plan ahead, said Mr Cheery.

While the Government's easing of restrictions on landlords is a step in the right direction, there is still much that needs to be done in the area of consumer motivation, the Booth-Mout report claims. "The threat of summary eviction is only effective if it takes place in the proper context," said Mr Cheery. "It seems obvious from the rising levels of homelessness in Britain that the message is not getting through to the accommodation-seeking public."

Housing minister Gazza Pinksnade said the Government welcomed the report, and admitted that too little had been done to prevent homelessness being seen as a soft option for accommodation defaulters. "Clearly this is a huge problem which we have inherited from previous administrations, and we shall certainly be looking into some radical but economically responsible options to help the free market clean up Britain's streets," Mr Pinksnade said.