Boris puts building industry under pressure to increase affordable homes

. Credit: ITV News

Boris Johnson says he wants to put pressure on the building industry to increase the amount of affordable homes in London. The mayor was heavily criticised in 2008 when he scrapped a quota forcing developers to make half of all new homes affordable.

The mayor believes the economic recovery and the boom in the housing market should force developers to rethink their commitment to social housing.

I certainly think developers need to build more affordable homes on their sites and we're being very very tough with them now.

The mayor also criticised the lack of low-costs homes in a planned development on the Royal Mail site at Mount Pleasant. The proposal to build 700 homes has been "called in" by the mayor.

Royal Mail at Mount Pleasant in central London Credit: Press Association

What I can say is that there's no way that they'll get away with as little as 12 per cent affordable. I'll tell you that for free.

But the mayor ruled out bringing back the 50% rule, saying it was "economically undeliverable."

He also told ITV News he does not think overseas investors are fuelling London's housing crisis.

A lot of people say it's just bankers coming in from France or wherever who are pushing up the prices. That's not quite true. If you look at the number of homes being sold to foreigners in London the number of homes is still about 3 per cent and that includes people from Ireland and by value it's about six and a half per cent. That's no higher than it was in 1990 or even earlier but what you do have is in some parts of london like Kensington and Chelsea, very prime areas of london, there's no question those international buyers are having an effect.