Tracking Housing Trends Through Data

The NIESR Local and Regional Regeneration Dashboard is designed to provide a clear, data-driven view of economic and social development across the UK. Built around the 12 missions outlined in the 2022 Levelling Up White Paper, the dashboard consolidates publicly available metrics into a single platform, enabling easy comparisons between different regions. Since its launch in September 2024, it has been continuously updated with new data sources, offering fresh insights into the state of local and regional regeneration.

One of the key areas of focus is housing (Mission 10), a pressing issue as the government strives to increase housing supply, reduce rental costs, and support first-time buyers. With house prices now 18% higher than they were before the cost-of-living crisis in late 2021, affordability remains a major challenge, particularly for young people who are increasingly unable to move out of their family homes.

The latest updates to the dashboard provide a more detailed picture of housing availability and ownership. The data now includes:

Total number of dwellings across the UK, broken down by ITL1 region (the 12 major UK regions).

Breakdown of ownership, including owner-occupied homes, private rentals, and social housing.

Mortgage trends, such as the median Loan-to-Value (LTV) ratio and median mortgage loan values by region.

By analysing this data, researchers and policymakers can better understand how access to housing has changed and what factors continue to shape the market.

Understanding Housing Market Dynamics

To track housing trends, factor analysis is used to identify broader patterns and regional variations. This approach reveals the long-term impact of economic events on housing accessibility.

Following the 2008 financial crisis, housing affordability dropped sharply across all UK regions, reflecting the widespread economic downturn. The recovery was uneven, with Scotland rebounding slightly faster (2013-2017) than other devolved nations, while London experienced volatile price shifts due to high levels of property investment.

More recently, the end of the Covid-19 pandemic has exacerbated regional housing disparities, mirroring wider economic inequalities seen in health, wages, and productivity. Rising interest rates, employment trends, and affordability differences have deepened these gaps, making housing access even more uneven across the UK.

Homeownership Trends: A Growing Regional Divide

The 2008 financial crisis left a lasting impact on homeownership rates, making it more difficult for people to buy homes. London saw the sharpest decline, with homeownership rates falling below 50%, highlighting severe affordability challenges in the capital. In contrast, Wales maintained higher ownership levels (around 70%), suggesting a stronger homeownership culture supported by policies favouring buyers.

High rental costs in London remain a significant barrier, despite the city’s higher wages. Income inequality means that many residents struggle to save for a deposit, further locking them out of homeownership.

By 2014, the rate of decline in homeownership began to slow, and a modest recovery has been observed since 2020. However, regional disparities have widened, reinforcing the trend of an increasingly uneven housing market recovery. Economic conditions, affordability differences, and government policies all continue to shape these regional divides.

Looking Ahead

Housing remains a critical issue in the UK’s economic landscape, with affordability, supply, and ownership patterns shifting in response to economic pressures. As new data becomes available, NIESR’s dashboard will continue to provide valuable insights, helping policymakers develop targeted solutions to address the ongoing housing crisis.