Young adults in the UK are losing faith in finding a stable and secure home, with fears for their future housing situation damaging their mental health, a new survey has revealed.

Commissioned by social landlord Clarion Housing Group, LADbible Group’s research study of 2,000 18-30-year-olds living in the UK found that 72% of 18-30s say that their future housing situation has had an impact on their mental health, and that:

• 85% aspire to own their own home, but 37% think they will never be able to
• 60% who voted in the general election said housing policies had an impact on who they voted for, but 53% don’t have confidence in the government’s ability to impact the UK’s housing crisis
• 75% say actions speak louder than words when it comes to government housing policies
• 39% don’t feel like they have a voice when it comes to their current and future housing situation.

In recent months, 28% are feeling less optimistic about their housing situation – a figure that rises to 33% for social housing residents – with 56% thinking that young people’s needs are not considered when it comes to housing.

The findings also show that concerns about housing weigh heavily on the minds of young people, with a negative impact on mental health stemming from financial stress (70%) and feelings of uncertainty about the future (69%). A worrying 63% of those who said their future housing situation was negatively impacting their mental health reported feeling low or depressed as a result.

Looking to the future, in an ideal world 18-30s would prioritise saving to buy a home above all else, but in reality, short-term needs such as buying food, and seeing friends and family take precedence.

When it comes to finding out about housing options, 18-30s are most likely to turn to family (63%) first for advice and guidance. However, only around half understand how the housing market works and what options are available to them. Nationally there is a large gap between the average monthly housing spend (£772.20) and what those living at home can afford (£454.79).

Many Gen Zs and young millennials (43%) expect to be renting long-term with sentiment split – 38% feeling positive, and 31% feeling negative. For many, renting is seen as a more affordable and flexible option than buying, whether they plan to buy a property eventually or not.

For some long-term renters, positive sentiment stems from liking the home they’re currently renting and feeling safe and secure there. Conversely, 53% of those who reported feeling negative about renting long-term said that this was due to a lack of stability.

Clarion says it wants to encourage a long-term housing vision and strategy, with solutions to provide new housing options for young people alongside shared ownership to give them the stability they need to be economically active and contribute to UK growth.

Clare Miller, Clarion’s Chief Executive, said: “These findings paint a stark picture of the challenges facing young people navigating a complex and costly housing market, but there is some light at the end of the tunnel.

“Through our charitable foundation, Clarion Futures, we work with partners in communities nationwide to run projects offering money guidance and opportunities for our young residents to develop skills and improve life chances. To make a real difference, however, young people need to have a seat at the table, sharing their insights and experiences to help find housing solutions that work for them.

“With more than 20,000 new homes in our pipeline, we’re committed to playing our part in reaching the government’s ambitious housebuilding target, providing a range of options for those seeking stability and security, including shared ownership. However, the road ahead remains a bumpy one, with inflation predicted to remain unsettled. This will undoubtedly have a negative impact on our residents and make it more challenging for us to build homes, so it’s more critical than ever that housing is at the centre of the government’s upcoming spending review, which we hope will unlock the resources we need to tackle the housing crisis and boost economic growth.”

Emily Driscoll, Head of Data, Intelligence and Planning at LADbible Group, said: “The immense challenges young people face in pursuing their dream of home ownership remain a pressing issue for this generation. This research reveals the heavy toll these struggles take on their mental wellbeing, and reinforces the urgent need for bold, effective solutions to secure a brighter future for young adults.”

Jenny Riddell-Carpenter MP said: “This research underscores the realities of the housing crisis – it has created a growing number of young people that feel marginalised by politics, after the previous Conservative Government failed to support their most basic of aspirations – affordable living and access to quality, affordable homes.

“Owning a home, once a milestone of personal and financial achievement, remains an elusive dream for far too many young people. Young people are rightly tired of being ignored, as they were by the last government, who failed to tackle the housing crisis head on.”