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House rules


What price the capital meeting the estimated demand for 700,000 additional homes by 2016?

A few years ago, the London Planning Advisory Committee estimated that about 19,000 homes per year were needed in the capital. Ken Livingstone's recent commission into the question estimated 40,000. The London Development Agency has split the difference, and thinks 30,000 might do the trick.

Ask anyone in the industry whether this is remotely possible and they just laugh. A slackening market provides few incentives to housebuilders who are going to get hit with a demand for 50 per cent affordable as part of their developments.

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