Tag Archives: government
Number of new homes being built in the UK up 10% since 2013
New figures show a rise in the numbers of new homes being built across the UK, with starts now 10% above 2013 and at their highest annual total since 2007. Starts on new homes in 2014 totalled 137,010 overall and in London, starts in 2013 to 2014 were the highest since 2005 to 2006, according to the figures released by the Department of Communities and Local Government. Overall 700,000 new homes have been delivered since the end of 2009 and over 200,000 of which have been since the launch of the government’s flagship Help to Buy scheme. ‘We inherited a broken housing market in which builders couldn’t build, lenders wouldn’t lend and buyers couldn’t buy. We’ve done a lot to help get the housing industry back on its legs, but there’s more to do,’ said Housing Minister Brandon Lewis. ‘These figures show we’re on track and turning this around. Now, housebuilding levels are at their highest annual total since 2007, and first time buyers are getting on the property ladder in record numbers. This is thanks to our long term economic plan and efforts to tackle the deficit we inherited, which are keeping interest rates at their record low and mean now is the best time on record to take out a mortgage,’ he added. The department pointed out that the 2008 economic crash devastated the house building industry, bringing building levels to their lowest since the 1920s and leading to the loss of a quarter of a million jobs but the government has prioritised limited financial resources to house building as a key part of its long term economic plan. This includes helping people onto the housing ladder and over 77,000 households have become homeowners with a fraction of the deposit they would normally require thanks to the Help to Buy scheme, with developers building more as a direct result. According to Lewis, reforms to the planning system has put power back in the hands of local people to have a say over the future development of their area, meaning support for local house building has increased dramatically over the past six years, and permission was granted on 240,000 homes in the year to October. The figures also show that nearly 217,000 affordable homes have been delivered since 2010 and £19.5 billion public and private funding has already been invested in affordable house building, with plans for a further £38 billion which will help ensure a further 275,000 new affordable homes are provided between 2015 and 2020. Lewis also pointed to efforts to keep interest rates low and mortgages more affordable and said that the numbers of first time buyers are at a seven year high, with the Mortgage Advice Bureau recently reporting now as the best time on record to take out a mortgage. Continue reading
UK starter homes initiative could create infrastructure shortfall
UK Government plans to create 100,000 cut-price homes for first time buyers risks creating a shortfall in local infrastructure, according to the British Property Federation (BPF) has warned. In its response to a government consultation on its ‘Starter Homes’ initiative, the BPF said that exempting developers from providing necessary infrastructure could mean that other sites in the area will find themselves under additional pressure to cope with a resulting shortfall in amenities. While praising the government for its ambitious approach to increasing the supply of housing, the trade body said the overall effect of the proposals may hold back development in surrounding areas. The BPF suggested that there should perhaps be the option for developers to provide some of the necessary infrastructure in exceptional circumstances, over and above the contributions suggested for site-specific development mitigation. The initiative proposes to bring forward 100,000 homes for first time buyers. Developers will be encouraged to see the homes at a discounted rate in return for building on brownfield sites and being exempt from infrastructure requirements. ‘While the Starter Homes initiative is welcome and holds a lot of potential, the detail does need to be worked through more carefully if it is to work in practice,’ said Melanie Leech, chief executive of the British Property Federation. ‘Infrastructure is vital for places to succeed – not only transport infrastructure, but space for people to work and relax, and the right social infrastructure for a healthy society. Many brownfield sites are lacking in amenities, so we would urge government to act carefully to make sure that starter homes do not hamper the wider growth of their surrounding areas,’ she added. Meanwhile, the property industry has today backed Labour’s plans to consider designating large scale housing as national infrastructure. Labour’s draft remit for a new National Infrastructure Commission (NIC) sets out 10 national infrastructure goals. It includes making sure that the enabling infrastructure is in place to support rapid housing development and that housing investment is integrated with investment in transport and utilities. The British Property Federation has consistently lobbied government to include residential into the Nationally Significant Infrastructure Plan (NSIP) regime, repeatedly pointing out that the National Planning Policy Framework (NPPF) advocates mixed-use development, and that sustainable communities need to include a mix of both commercial and residential units. Including a provision for residential in the NSIP regime could help unlock significant amounts of much needed housing development. ‘If we are to deliver housing at scale at the same time as creating commercial hubs that will drive economic growth, we need to encourage the development of well connected, mixed use communities where people can both live and work. Including residential within the NSIP process would be a significant step forward in this respect, and we hope that whoever is in power after the next election takes this forward,’ said Leech. Continue reading
Research reveals lack of knowledge of planning issues in the UK
Uncertainty over planning grey areas is fuelling the housing crisis in the UK with 60% unable to correctly define the Green Belt and a third believe building on green field is prohibited in all cases. The research from planning consultancy Iceni Projects, also reveals that nearly 90% of the population have no knowledge of, or do not understand, the National Planning Policy Framework (NPPF). Iceni is calling on the property industry and government to raise awareness of planning legislation and housing policies after new research shows a mammoth lack of knowledge amongst the general population on key planning issues. ‘Our research shows that there is a fundamental lack of understanding on key issues of planning policy, such as a misunderstanding that Green Belt must always be green,’ said Andrew Gale, director at Iceni Projects. ‘In addition, three quarters of respondents know little or nothing about housing policy in their local area. This is having a major impact on the industry’s ability to delivery much-needed housing and commercial space,’ he explained. Iceni’s survey found that over half the population oppose building on Green Belt, even though a significant group, 60%, do not even know what Green Belt is. ‘It is a grey area across communities in the UK, and we believe these serious misconceptions are a barrier to investment and growth. If the industry is to make any headway in narrowing the housing gap and delivering the facilities required to keep the UK a competitive economy, we need to take urgent action to educate and inform the public,’ said Gale. ‘We are therefore urging the government and industry to follow suit and ensure important decisions on new developments are made on the basis of a clear understanding of planning terminology,’ he added. The firm says that action is clearly wanted by the public with 68% of respondents supporting steps to make it easier for people to get involved in the planning process and 77% saying they do not know how to get involved in the planning process. The research also found that 60% of the population believe the Green Belt is not built on, where in reality much of the Green Belt already has buildings on it and there is huge confusion over whether the Green Belt is green with a 30% saying it is a type of green field, where in fact the Green Belt is not necessarily even ‘green’. Some 86% of respondents do not know how much of the UK’s surface is urban, with 58% overestimating and 27% saying they do not know, when in fact only 7% is urban, according to data from the UK National Ecosystem Assessment, 2012. Continue reading