House prices are a growing obstacle to public sector staffing
This is a key finding of a report prepared for the Essex NHS Workforce Development Confederation by Fordham Research.
Equally important and related headline findings are that the Essex NHS - in common with public sector organisations in the UK - faces recruitment and retention problems due to:
- An aging workforce
- Increased competition for staff in a tight labour market
Fordham Research was commissioned to investigate the extent to which staff were likely to be in housing need and what trusts could do to assist.
The research was undertaken during the summer of 2005. In addition to interviews with senior officials from the 14 Trusts that participated, over 2,000 questionnaires were completed by staff selected from a random sample. There was also a detailed survey of house prices across the county.
The key findings are that:
- The earnings needed to afford the minimum price of a second hand two bedroom house varied from £30K to £53K per annum depending upon the district
- Average NHS earnings were just £20,772 p.a., although this masks a wide variation amongst groups of workers.
- The Essex NHS workforce is ageing. The average age of NHS employees was 45 years
- A third of all staff expect to leave their current job within 3 years, although many will do so to join another NHS organisation
- 70% of staff aged under 30 intend to leave within 3 years
- 84% who expect to move from Essex also expect to leave their current job
- 6% of households (1,616 employees) were in housing need (i.e. were
in unsuitable housing, need to move and cannot afford market prices).
Of those in need:
- 70% earn less than £21,000, and 38% are under 30 years old
- 45% expect to leave within 3 years
- 81% require 1 or 2 bed properties. Demand for intermediate homes to rent and buy
The overall conclusions of the study were that:
- The amount of housing support available for employees in housing need was very limited
- Key Worker Living is limited in scope and eligibility
- Housing affordability is seen as one factor in staff recruitment, but becoming increasingly important
- The issue goes beyond meeting staff's immediate housing need, but also those who may leave the NHS because they cannot afford to live in Essex
Quote from the Essex WDC:
'This piece of research will help us better understand the action we need to take to assist staff in finding affordable accommodation. We are pleased with the work undertaken by Fordham Research which will be very useful for planning purposes'
For further information please contact:
Paul Taylor, Essex NHS Workforce Confederation. Tel. 01245 397 748
Jamie Keddie, Fordham
Research. Tel. 020 7289 3988