According to the think-tank the Strategic Society Centre, by the time today’s ’20 somethings’ reach retirement, the number of people forced to rely on housing benefit could almost triple!
With less and less people owning their own properties, future generations of pensioners could be increasingly reliant on the state to meet their housing costs.
With the number of those under 35 in rented accommodation steadily growing, the group have been nicknamed “generation rent”. Britain is changing from a nation of home owners into a continental-style society where renting is the norm.
In 1997 over 40 per cent of adults under 30 owned their own home, with only 30 per cent renting.
By 2009, the proportion who owned their home had fallen below 30 per cent, with almost half renting privately.
Based on current population projections, the report predicts that by 2060 about only around 60% of pensioners would be owner-occupiers, down from almost 75% in 2000.
That would mean almost 3.5 million pensioners claiming housing benefit, up from just under 1.5 million today, it suggests.