Part of the problem is the fact that downsizing often does not make financial sense for older homeowners. Lucian Cook, of Savills, said: “In order to make the most efficient use of our existing housing stock there needs to be a change in attitude to downsizing, not just among individuals but also policymakers.
“While housing policy initiatives tend to focus on getting younger generations on to the housing ladder, we also need to look at financial incentives for downsizers to free up stock, as well as greater provision of retirement housing that better suits the needs of downsizers and which the older generations aspire to live in.”
Some have called for stamp duty relief for those selling their family home and downsizing to a smaller property.
The number of people living in homes that are larger than their needs will grow further over the next 10 years as population demographics shift, said Neal Hudson, of BuiltPlace analysts. Between 2011 and 2021, the share of the population aged 65 or older in Britain expanded from 16.4pc to 18.6pc, and now stands at 11 million people, according to census data. By 2031, they are expected to number 13 million.
Mr Hudson added: “There are enough bedrooms in England for everyone to have one and to have several million extra, but they are very unequally distributed. It is very hard to make the distribution better. The last thing anyone wants to do is kick people out of their family homes.”
