- The Skipton Group Home Affordability Index Report reveals the systemic affordability crisis facing around 5 million 1 adults still living with their parents 2 across Great Britain
- The detailed research – created in partnership with Oxford Economics – finds 98% of adults living with their parents (ALPs) cannot afford to buy the average first-time buyer home in their area based on their own income
- Even removing the barrier of a deposit barely moves the needle – 97% still remain priced out, facing unaffordable essential housing costs if they were to move out
- The problem goes far beyond just London and the South East – in even the most affordable regions of Great Britain, fewer than 10% of adults living with parents can afford the average first-time buyer home in their local area
The Skipton Group Home Affordability Index today lays bare the alarming nature and scale of the housing crisis facing millions of adults trapped living with their parents.
The latest UK census shows a sharp rise in the number of adults living at home with parents, hitting around five million. 3 The third edition of The Skipton Group Home Affordability Index seeks to find out why. It reveals the overwhelming majority are stuck – 98% of them are unable to afford to buy the average first-time buyer home in their area based on their own income.
It’s not just a London and South East issue, but a national problem. In every region of Great Britain, fewer than 10% of ALPs can afford the average first-time buyer home. In London, the East of England, and the South West, affordability drops below 1.5%.
It’s also not just a deposit problem. Even when the deposit barrier is removed, 97% of ALPs still cannot afford to buy.
The crisis lies in both buying a home and being able to afford to live in one. This is because if they did move out, over 9 in 10 would face housing costs that exceed 45% of income – well above unsustainable affordability thresholds.
Skipton’s research, created in partnership with Oxford Economics, uncovers a crisis with intergenerational impacts. It shows that if parents with adult children at home were instead able to downsize, they could unlock an average of £72,400 in equity or save an average £2,400 a year in rent. For lower-income households, that equity could amount to 60% of their non-property wealth.
In addition to the quantitative research, a supplementary survey of 2,000 adults across Great Britain living with parents shows the psychological toll behind the figures. More than half (51%) feel a sense of lost youth, missing out on their best years living under someone else’s roof. The survey also dispels the myth of short-term ‘boomerang kids’ returning to parents for a few years to save – 70% have never moved out, and most have no clear path to independence. While 9 in 10 hope to move out at some point, even the vast majority (82%) of those who are actively able to save say they’re a long way off getting a sufficient deposit together.
Stuart Haire, Skipton Group CEO, said:
“This data lays bare the systemic failure of our housing ecosystem. It’s a failure that is locking millions of young people out of independence, home ownership, and long-term financial stability. When 98% of adults living with their parents can’t afford to leave, they’re not just facing a housing crisis – they’re facing a crisis of opportunity.”
“At Skipton Group, we are unwavering in our commitment to make home ownership more than a distant aspiration. Whether through our lending, our estate agency network, or through research like this, we are determined to help people take meaningful steps towards a home of their own.”
Further insights on first-time buyer affordability
Every six months, the Skipton Group Home Affordability Index also tracks home affordability across all local authorities in Great Britain, looking at the affordability of both buying and running a home.
This Report’s analysis shows that affordability has stagnated. The Index’s buying affordability score has remained largely stable but living affordability – the ongoing cost of running a home – has worsened, mainly owing to increases in energy prices and rent.
Among potential first-time buyers, the proportion who can afford to get onto the property ladder in their local area was 11.5% in Q2 2025 – unchanged from Q4 2024.
Working together for practical solutions
As long as renters and buyers face substantial barriers to purchasing a home, Skipton Group will continue to play its part in helping to dismantle them.
In addition to the insights in the Home Affordability Index Report, Skipton Group is focusing on practical solutions including:
- Advocating for reform of property taxes, to remove the burden on first-time buyers. This would make a significant difference, including improving the ease and flow of the market. A healthy market relies on free movement: older owners downsizing, families upsizing, and importantly, for this Index, first-time buyers getting on the ladder. Policy should encourage that flow, not restrict it.
- Advocating to protect and reform the Lifetime ISA. We believe the Government should protect and reform the Lifetime ISA as well as Cash ISAs which have been a valuable tool for many to save for a deposit, but needs reform to meet the challenges of today and for the future.
- Innovating first-time buyer mortgage product design:
- To support living affordability, earlier this year we launched Delayed Start – a mortgage product allowing first-time buyers to move into their home without making payments for the first three months.
- For first-time buyers more broadly, introducing and advocating for innovative products such as Joint Borrower Sole Proprietor mortgages, which allow third parties – including parents – to be joint mortgage holders, as a way to support mortgage access without requiring gifted deposits or shared ownership.
- Track Record, our 0% deposit product launched in May 2023, allowing first-time buyers to use their history of rent payments to access a mortgage.
About the Skipton Group Home Affordability Index
The Skipton Group Home Affordability Index, created in partnership with Oxford Economics, provides unique insight into the affordability challenges faced by renters, first-time buyers and homeowners by age, income, geography and family type. It utilises data from across Skipton Group businesses, the Office for National Statistics, the Bank of England and third-party external sources. Its comprehensive analysis and forecasting covers all 363 local authority areas across Great Britain as well at the regional and national levels.
- For more information on the Index findings click here for the Index Report.
- To explore living affordability and buying affordability across Great Britain, click here for the dedicated interactive tool.
- For more information on the methodology behind the Index click here.
For more information on the Skipton Group Home Affordability Index, or requests for further insight, data or commentary, please contact:
Stacey Dickens
Skipton Group Head of Corporate Communications
[email protected]
To contact the Press Office please call 0345 601 7247 email [email protected]