Even the cheapest local homes are beyond the reach of many young adults, according to a new report published by the Institute of Fiscal Studies (IFS).

The report claims that, in 1996, over 90% of 25-34 year olds would have been able to purchase a home in their local area if they borrowed four and a half times their salary, provided they had a 10% deposit. That same four and a half ratio is what most lenders will now allow as their ...