It’s not easy to pinpoint why the UK is experiencing a huge baby boom, but a more important a question, perhaps, is: should the increase in population be seen as a bad thing, or an opportunity?
The positive view would be that it is of course a very advantageous situation, since as far as many economists believe, people are a country’s primary resource – so long as they are productive. But of course, without proper planning, this spike in births (729,000 babies were born in England and Wales in the year to June 2012), will be a real problem for the country.
While these children will need nursery places, primary, secondary schooling, and further and higher education provision, they will also – or have already – created a huge need for new homes. And so the baby boom – the biggest for 40 years according to the Office for National Statistics – represents a huge opportunity for Britain’s house builders and property investors. Those living in small properties now will need larger ones in years to come, as their children grow. And by extension, such a surge in demand creates opportunities in the whole economy, from landlord, buy to let and unoccupied property insurers, to gas, electric and water providers.
Along with a big increase in births, people are also living longer: in 2003, the figure arrived at when deaths were subtracted from births was only 77,000. In 2012, that figure had shot up to 239,100.
While the UK baby boom may worry some, with good planning, it could mean a booming property industry – and a booming economy as whole.
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