Homelessness on either side of the Atlantic

The proliferation of tent cities and decrepit RVs in towns and cities across America has led some to see this as a potent symbol of the economic crisis, as affordable housing is out of reach of ever increasing numbers of low income people. Indeed, the US Department of Housing and Urban Development (HUD) reported

On a single night in January 2023, “roughly 653,100 people—or about 20 of every 10,000 people in the United States—were experiencing homelessness,” with about 60% in shelters and the remaining 40% unsheltered, according to HUD. That’s a 12% increase from 2022 and the highest number of unhoused people since reporting began in 2007.

British homelessness

However, as reported in the Weekend Financial Times (May 18, 2024) people sleeping rough on the streets is one of the lesser manifestations of the problem.

The main form of home­less­ness is people liv­ing in tem­por­ary accom­mod­a­tion, the main driver is an inab­il­ity to afford hous­ing, and Amer­ica is not even par­tic­u­larly close to the worst. The UK holds that igno­mini­ous title, with an aston­ish­ing one in 200 house­holds liv­ing in emer­gency lodging out­side the formal hous­ing sec­tor.

Hun­dreds of thou­sands of people across the developed world live in build­ings where damp and mold are com­mon­place, as are insect and animal infest­a­tions. The dis­rup­tion of being moved from place to place causes adults to drop out of work and chil­dren out of school.

Britain has the highest rate of homelessness of any country:

These numbers show that while more people sleep on the streets in the States, there is less overall homelessness per 10,000.

The FT highlights the root of the problem in three areas:

This night­mare scen­ario is due to three main factors: woe­fully inad­equate rates of house­build­ing, a dwind­ling social hous­ing sec­tor and the erosion of fin­an­cial sup­port for those unable to afford mar­ket rents. Rel­at­ive to pop­u­la­tion size, the UK builds fewer homes than the vast major­ity of other developed coun­tries. This has sent private sec­tor rents spiraling, exacer­bated by a 25 per cent shrink­ing of the social hous­ing sec­tor since the 1970s, slowly clos­ing a cru­cial safety valve.

A lengthy analysis of the rates of housebuilding in Britain since the end of the First World War to today, concludes that a combination of NIMBYism, the “iron ring of green belts around Britain’s cities,” and a failure of political will has led to the current undersupply.

It remains to be seen if an America where land is more plentiful can build accommodation for all.

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