One of the disadvantages of council housing compared with other sectors is that tenants are less likely to move to take up new jobs.
So why have council housing at all? Why not simply subsidise private sector rentals for those who need* such subsidy?
*Yes, I know, “need” is highly subjective but still….
6 responses so far ↓
1 Kit // Jun 30, 2009 at 9:53 am
Dare I say it is ideologically driven with the added benefit of creating loyal fiefdoms.
2 dearieme // Jun 30, 2009 at 11:27 am
Herbert Morrison, ancestor of Lord Mortgagefraud, boasted that he was going to “build the Tories out of London” with council houses. (Lady Porter’s crime in reverse.)
3 Ed // Jun 30, 2009 at 12:06 pm
You mean Local Housing Allowance? Doesn’t the subsidy make housing more expensive?
http://tinyurl.com/nxcar6
The solution is to recognise that housing is a cost, not an investment, thus we should want to minimise it’s price.
4 AntiCitizenOne // Jun 30, 2009 at 7:16 pm
Ed,
You mean like having an LVT and funding an CD out of it (that replaces benefits)?
5 Ed // Jun 30, 2009 at 8:44 pm
ACO, what an excellent idea. Higher interest rates and stricter criteria for mortgages wouldn’t hurt either.
6 Mark Wadsworth // Jun 30, 2009 at 9:39 pm
What Ed and AC1 say (obviously).
Leave a Comment