Blair backs huge house building drive
Tony Blair has backed proposals to build tens of thousands of new homes in the south-east to tackle the housing crisis...
Speaking to the House of Commons' liaison committee this morning the prime minister said: "We are going to have to expand the number of houses in the south-east. If we do not do that we will not have the amount of houses that we need."
He added: "We have to recognise the fact that there is an excess of demand over supply for housing in the south."
His comments come after a Treasury-sponsored report by the economist Kate Barker. The report warned of increased homelessness and social division unless the government backed a massive increase in house building.
But Ms Barker's review has prompted alarm among environmental campaigners, who claim that such a programme is not sustainable and will ruin the countryside.
Mr Blair said there is plenty of room to build in the south-east, in places such as the Thames Gateway, without disturbing rural areas.
House building in this area would bring much-needed economic regeneration, and, provided it included a new infrastructure and services to support new communities, there is no reason that it would not work, he argued.
He added: "For many many families in the south of England it is difficult... Many parents see it is hard for their children to get on the housing ladder."
The prime minister's comments suggest that the government is prepared to back a substantial house building programme and major infrastructure projects in the south-east in the spending review to be announced next week.
Press Association, 6th July 2004
