Record immigration brings homes crisis

Immigration is dramatically outpacing official predictions, the Government admitted today.

Ministers now believe there will be double the number of foreign households previously predicted.

More than half of the new arrivals are expected to settle in London - with serious implications for housing. Today critics attacked the Home Office for failing to anticipate the scale of immigration and said the Government must ensure there are enough new homes.

The latest projections from Deputy Prime Minister John Prescott's office reveal the Government now believes the number of households in Britain will soar by 189,000 every year over the next two decades - almost 40,000 more per year than previously predicted.

Around 59,000 of the new households are expected to be attributable to immigration. The news comes amid mounting concern-over the provision of affordablehousing in London. Mr Prescott has ordered a dramatic increase in the number of low-cost homes in Westminster - drawing accusations of "economic illiteracy" from Westminster council's cabinet member for planning, councillor Robert Davis, who claims the move will deter developers.