Under-25s 'unable to move home'

Those aged under 25 are the worst affected of the millions who now feel unable to move home due to the current state of the housing market, a survey has shown.

A study by finance website gocompare.com has found that 3.6 million people - one in four homeowners - feel they cannot move due to the credit crunch.

Of those under 25 the figure stood at 44 per cent, with only 14 per cent expecting to move up the ladder in the next three years and 32 per cent saying they had dropped plans to move in the next year.

However, the number of people who had abandoned plans to renovate their homes by means of extensions fell by a smaller amount, with 15 per cent stating this.

Some householders may consider home extensions and renovations as a way of changing their existing home into one that better meets their needs and aspirations, rather than moving to a new one.

The news comes as new figures from the Bank of England show the number of mortgages for home purchases dipped in April to 58,000, compared with 63,000 in March.