House Prices

On my way to the Clapham tube station, I pass a variety of "Property and Letting Agencies." There seem to be more of these things than banks at the moment. Couldn't believe the prices. Can't help thinking we'll all be happier off in the UK if people stop thinking of Housing as Property and rather as Houses, i e somewhere to live. One flat for rent was £1090. Looked quite reasonable until I saw it was per week! Why on earth is the government not building more houses? Surely that must be both a vote winner and a potential profit making venture for the Exchequer.