In response to John Prescott’s challenge to housebuilders to build homes for £60,000, Wates has come up with a range of houses and flats that will cost between £55,000 and £85,000 to build. The two-storey, two double-bedroomed homes, which will be built on the outskirts of Coventry, will be of traditional brick and block. But Wates has had to shave £7,000 off standard construction costs by altering layouts to meet the target cost. Prescott’s office said it was “delighted” housebuilders were responding to the challenge.