Almost a million more young adults live with their parents, more than they did 20-years ago due to a crisis in the housing sector, according to a think tank.
20 to 34-year-olds living in their parent’s home has increased from 2.4m to 3.4m from 1998 to 2017, Civitas said.
Housing affordability issues are the main reason for the “dramatic increase” of young adults being unable to fly the nest, Civitas said.
Lloyds Bank found the average home in UK cities for 2018 equated to 7.2 times average annual earnings, therefore the cost of buying a home is least affordable, if not almost impossible.
Daniel Bentley, editorial director at Civitas said, “An important consequence of the housing crisis that has gone largely unnoticed has been depressed household formation.
“As owner-occupation and social housing have each become more difficult to enter, hundreds of thousands of young adults have taken one look at the high rents in the private rented sector and decided to stay with their parents a bit longer instead.
“And those who have moved out have been much more inclined than in the 1990s to share, either with a partner or others.”
Adding, “Building new homes in line with household growth during this period would entrench the under-supply of housing for decades to come.”