The latest research from a National Estate and Lettings agent shows that there is large gap developing in how much the younger generation is paying on housing, compared to people aged 50 upwards.

Apparently those under 35 are paying more per household of £4,400 per year, than those who are between 50 and 64 years of age and £6,600 per year, more than the 65 and upwards age group, across England and Wales.

The research states main householders of 35 and under, are spending in the region of £37 billion every year on housing, which works out at £8,600 for each household. From this sum over half of it is paid to private landlords, whereas the over 65's are spending just £12 billion on their housing needs, working out at £1,939 per household.

The average yearly household of the 35-44 age group, spends £7,700 per household and accounts for £53 billion per year and a higher level of 63%, accounts for mortgages. If interest rates rise just by two per cent, this group will have to budget for an extra 18% onto their yearly housing spend.

Director of the residential research, Lucian Cook, said: "These figures reflect the generational divide in the housing market that needs to be reflected in housing policy.

"The youngest households have reduced access to home ownership, are paying more rent and have less opportunity to accumulate housing wealth. In London alone they pay around £8.3 billion in private rent.

"While the under 35s are protected from an increase in interest rates over the short term, given more of them are renting, this may impact their future access to home ownership because if they do get a mortgage the cost of servicing it will be a greater constraint, particularly given stress testing of affordability following the mortgage market review."