The housing crisis has gotten so bad for young people in Britain today that one group of experts have renamed it a “housing catastrophe.”
Millennials are now spending more than three times as much as their grandparents on housing costs, according to a new report by the Resolution Foundation.
While people born before 1945 spent just 7% of their annual income on housing, millennials (born after 1981) are forced to devote 23% of their earnings to housing costs, on average.
And the money is going on more cramped accommodation.
The Resolution Foundation found that millennial-headed households are more likely than previous generations to live in overcrowded conditions, and the average floor space used by someone under the age 45 has shrunk 4% since 1996.
Many of today’s young people are getting less for their money
Depressingly, the report’s authors say that if trends seen in the past decade continue, less than half of millennials will buy a home before the age of 45 compared to over 70 per cent of baby boomers who had done so by that age.