Here, as in the US, we have been lured into a fruitless debate about supply. There is a confected dispute between anti-housebuilding “nimbys” and
pro-housebuilding “yimbys”, led by energetic planning-law abolitionists, which seeks to distract us from talking about the ultimate sources of the housing crisis. The supply issue continues to dominate the discourse despite the US having more homes per capita than at
any point in its history, and the UK’s homes-per-capita ratio actually exceeds the US’s.
The yimby argument has always seemed flimsy. Its strange logic is that speculative developers would build homes in order to devalue them: that they would somehow act against their own interests by producing enough surplus homes to bring down the average price of land and housing. That would be surprisingly philanthropic behaviour.
When we complain, rightly, that
cities such as Vienna are so much more livable than anywhere in Britain, we must acknowledge that landlordism is holding us back. Our insistence on pursuing policies that ensure that letting private property is an “economic proposition” not only drives up prices for would-be homeowners, but it stands in direct opposition to a programme of municipalising and decommodifying the homes that already exist. It also inflates land values, making new state-led building projects unfeasible. If we want a Viennese-style existence we can only achieve this, as we did 50 years ago, by driving the landlords out. Which is only fair: we have given them a very good innings.