High house prices are putting off couples from having children

Shelter research shows 63 per cent more families are feeling the squeeze.

It’s a sad reality that in Britain we get used to putting up with the impact that the high cost of housing has on our lives. We accept having to spend an hour getting to and from work every day as we can’t afford to live any closer to our jobs. We think of the family homes we grew up in with nostalgia rather than aspiration, accepting we are unlikely to live anywhere similar. We pay half our salaries to keep up with our rent or mortgage, leaving little over for the rest of our lives.

However this week another impact has come to light that has serious implications for both individual families and for society as a whole. New research we have carried out at Shelter has identified a staggering 63 per cent increase in the number of people putting off having children because of the lack of affordable housing. Over a million people are delaying having a family because of housing costs. And we’re not just talking for a few months – one in four of those delaying said they have been doing so for more than five years.

Being in my mid-thirties, this is a picture I can identify with. I have seen numerous friends wanting to start families but unwilling to do so until they can buy their own home, not seeing their rented flat as a suitable place to raise a child. Others have had to move away from their families to be able to buy a home and start a family, having to give up the support networks and childcare options that are so important for young families. Some have had one child and stopped there, not out of choice but because they couldn’t afford to live anywhere that could accommodate more children.

And these are all people who work hard, who save, who do everything they can but who still can’t achieve the security and stability that was a given for previous generations.

So what can be done?

Clearly the high cost of owning your own home is not going to change overnight. So the million families renting (a number which has almost doubled in the past five years) need to ensure a rented place can feel like a suitable home to start and raise a family in. Landlords can evict them or raise the rent at any time. When you have children to consider, particularly if they are school age, for many this is just not a workable option.

Longer term we need action to bring down the cost of buying a home. Decades of underinvestment have left the supply and demand for affordable homes completely out of kilter. Earlier this month we saw levels of housebuilding fall yet again, down almost a quarter over the past year. When people’s lives are being put on hold in this way, this is simply not sustainable. We must see more homes being built that families across the country can afford so we can put a halt to this deeply concerning trend.

Children gaze down the stairwell of a 1950s slum; but poor family housing isn't consigned to history. Photograph: Getty Images

Anna is the head of press at Shelter.

Photo: Getty
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The EU’s willingness to take on Google shows just how stupid Brexit is

Outside the union the UK will be in a far weaker position to stand up for its citizens.

Google’s record €2.4bn (£2.12bn) fine for breaching European competition rules is an eye-catching example of the EU taking on the Silicon Valley giants. It is also just one part of a larger battle to get to grips with the influence of US-based web firms.

From fake news to tax, the European Commission has taken the lead in investigating and, in this instance, sanctioning, the likes of Google, Facebook, Apple and Amazon for practices it believes are either anti-competitive for European business or detrimental to the lives of its citizens.

Only in May the commission fined Facebook €110m for providing misleading information about its takeover of WhatsApp. In January, it issued a warning to Facebook over its role in spreading fake news. Last summer, it ordered Apple to pay an extra €13bn in tax it claims should have been paid in Ireland (the Irish government had offered a tax break). Now Google has been hit for favouring its own price comparison services in its search results. In other words, consumers who used Google to find the best price for a product across the internet were in fact being gently nudged towards the search engine giant's own comparison website.

As European Competition Commissioner Margrethe Vestager put it:

"Google has come up with many innovative products and services that have made a difference to our lives. That's a good thing. But Google's strategy for its comparison shopping service wasn't just about attracting customers by making its product better than those of its rivals. Instead, Google abused its market dominance as a search engine by promoting its own comparison shopping service in its search results, and demoting those of competitors.

"What Google has done is illegal under EU antitrust rules. It denied other companies the chance to compete on the merits and to innovate. And most importantly, it denied European consumers a genuine choice of services and the full benefits of innovation."

The border-busting power of these mostly US-based digital companies is increasingly defining how people across Europe and the rest of the world live their lives. It is for the most part hugely beneficial for the people who use their services, but the EU understandably wants to make sure it has some control over them.

This isn't about beating up on the tech companies. They are profit-maximising entities that have their own goals and agendas, and that's perfectly fine. But it's vital to to have a democratic entity that can represent the needs of its citizens. So far the EU has proved the only organisation with both the will and strength to do so.

The US Federal Communications Commission could also do more to provide a check on their power, but has rarely shown the determination to do so. And this is unlikely to change under Donald Trump - the US Congress recently voted to block proposed FCC rules on telecoms companies selling user data.

Other countries such as China have resisted the influence of the internet giants, but primarily by simply cutting off their access and relying on home-grown alternatives it can control better.  

And so it has fallen to the EU to fight to ensure that its citizens get the benefits of the digital revolution without handing complete control over our online lives to companies based far away.

It's a battle that the UK has never seemed especially keen on, and one it will be effectively retreat from when it leaves the EU.

Of course the UK government is likely to continue ramping up rhetoric on issues such as encryption, fake news and the dissemination of extremist views.

But after Brexit, its bargaining power will be weak, especially if the priority becomes bringing in foreign investment to counteract the impact Brexit will have on our finances. Unlike Ireland, we will not be told that offering huge tax breaks broke state aid rules. But if so much economic activity relies on their presence will our MPs and own regulatory bodies decide to stand up for the privacy rights of UK citizens?

As with trade, when it comes to dealing with large transnational challenges posed by the web, it is far better to be part of a large bloc speaking as one than a lone voice.

Companies such as Google and Facebook owe much of their success and power to their ability to easily transcend borders. It is unsurprising that the only democratic institution prepared and equipped to moderate that power is also built across borders.

After Brexit, Europe will most likely continue to defend the interests of its citizens against the worst excesses of the global web firms. But outside the EU, the UK will have very little power to resist them.

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