TMG is to work with a 20-strong steering group comprising MPs, senior figures from local government and some of Cornwall’s leading businesses. The goal is to quantify the scale of the housing problem within Cornwall – and then identify potential solutions.
“We sometimes forget what the consequences of house price inflation are,” commented Andrew Sinclair, TMG’s Director of Finance. “In Cornwall, many people are no longer able to buy there own home because the value of property has doubled in the poorest areas. In comparison the average salary has only increased by a fraction.
“This is clearly unacceptable. The people who have come together to form the think-tank clearly believe that there is a solution to this problem, which crosses all political boundaries. We intend to explore all of the issues fully and try to find a way forward that can be presented to central Government. Doing nothing about this problem is no longer an option.”
According to official statistics, the average worker in Cornwall takes home a salary of £17,000. Nationally this figure stands at £21,000. Today the average Cornish homebuyer needs to multiply their income seven times in order to secure a mortgage. In addition, almost nine per cent of all properties in Cornwall are now second homes.
“We’re currently undertaking some research which will give us a fair idea about the scale of the problem,” added Andrew Sinclair. “Once that we’ve compiled this data, we’ll be able to develop a strategy that will bring about change and hopefully result in properties becoming available in the region that enable people to gain a foothold on the property ladder.
“One of our goals as a business is to be able to lobby the Council of Mortgage Lenders and key players within the mortgage industry so that lenders display a willingness to explore various ways of helping the situation, which is not only escalating out of control in Cornwall – but in many other parts of the UK as well.
