A new study has claimed rent on homes in Lichfield could increase by more than £260 a month by the end of the decade.
The National Housing Federation’s Home Truths 2012 report has said an entire generation risks being priced out of the housing market altogether.
The predicted hike in private rents in Lichfield is being put down to of a lack of new homes being built in the area – with the city predicted to see the sharpest rise in private rents in Staffordshire.
Gemma Duggan from the National Housing Federation warned: “We have reached the point of no return for the housing market.
“Many families across Staffordshire are already really struggling to afford their home and with huge rises in house prices and rents ahead things look set to get even worse.
“Successive governments have failed to tackle the under-supply of housing and time is now running out, with an entire generation at risk of being priced out of renting a home, let alone buying one.”
The report said the average rental price in Lichfield is currently £558 – some £70 more than the Staffordshire average.
It predicts that people in the city will see their annual rent bill rise from £7,248 a year to £10,662 by 2020.
The report showed an 86 per cent rise nationally in people needing to rely on housing benefit to pay their bills.
“We urgently need to tackle the chronic undersupply of new homes across England and the West Midlands, to ease the financial pressure for families and Government,” Gemma added.
“As Home Truths shows, even working families are increasingly reliant on housing benefit to help pay their private rent. ”
The full Home Truths 2012 report can be downloaded here.