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Britain faces social housing crunch

Updated on 08 December 2008

By Cathy Newman

With plenty of demand, but a dwindling supply, housing associations are the latest victims of the property cash.

There's no shortage of demand for social housing but the credit crunch has created a serious shortage in supply.

Today the Homes and Communities Agency announced a change in rules making more government money available to housing associations - the latest victims of the property crash.

An investigation by this programme has discovered that as many as 20 are suffering serious cash flow problems. Overall they face a shortfall of up to £4.4bn caused by a collapse in house sales.

Correction

The original report broadcast on 8 December 2008 stated the Zahidi family was in housing let by Brent Council.

In fact, it was not Brent Council that housed the Zahidi family, it was another council. We apologise to Brent Council.

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