Errr, I fail to see how that is true? As most council houses were built as estates. As the parts of Germany I've lived in had no such projects (to use the US name) I don't see the conneciton. I think of the worst parts of London near me, they are all big sink estates.
A better solution is to have a large supply of affordable accommodation, that is available to all.
I'm confused, are you saying that people who are working are somehow less important than those who aren't? One can not exist without the other in that situation, much like a child, it can only survive so long as resources are enough to satisfy the hosts existence to enough of a level for it to sustain the needy.
I am saying our current situation is completely unfair and unsustainable. It is easy to justify how it's not sustainable. Look at how rental demand has increased historically with population increases. The what was it, 1.3% rise in population, resulted in a 16% rise in rent for TH (inflation not withstanding) that is clearly not sustainable.
The problem is, I can't see any solution to this issue of Supply and Demand. Either we increase supply, but that is impratical in a place like TH as it is already very densely populated, or we cut demand. Or we do away with free market allocation and give the housing only to people you like. So then it comes to cutting demand.
Now for me, I'm not much affected by this, I bought my flat a few years ago. I stopped earning enough money to pay any real tax when I was taxed 67%. I can't be bothered to work hard enough, or enough in this country.
However I do have quite a few friends, who are working very hard, to have a much lower quality of life than those people who tick your boxes that I am somehow being cruel too.