§ 12. Mr. Tom Boardmanasked the Minister of Housing and Local Government what is his latest estimate of the price of an average new house.
§ Mr. FreesonA provisional estimate of the average price of new private dwellings mortgaged with building societies in the first quarter of this year is £4,960.
§ Mr. BoardmanDoes not this confirm the opinion of the Building Societies Association that the average price of a house has increased by nearly 50 per cent. since 1964 and that the rate of increase is accelerating? Does not this mean that houses are now getting beyond the reach of the average wage-earner?
§ Mr. FreesonNo, Sir. The rate of increase has been about 40 per cent. over the past five years. The rate of increase over the previous five years was 41 per cent.
§ Mr. BlenkinsopWhat proportion of this increase is due to higher standards of houses which are being built?
§ Mr. FreesonI cannot attribute a proportion concerning the private sector, but, taking as a guide-line the estimated increase in cost of public authority housing, it has risen by 8 per cent. due to the adoption of mandatory Parker-Morris standards. In so far as private building reaches somewhat in that direction, if not as far, one must attribute increase in costs to a proportion attributable to higher standards.