Mark Whitehead 27 February 2023

Housebuilding set to fall to lowest level since WWII

Housebuilding set to fall to lowest level since WWII image
Image: Ceri Breeze / Shutterstock.com.

Housebuilding in England is set to fall to the lowest level since the second world war, according to the Home Builders Federation (HBF).

It says the Government’s ‘anti-development and anti-business’ policies threaten to dramatically slow development.

Its analysis says the supply of new housing is likely to fall below 120,000 homes annually over the coming years, less than half the Government’s target.

However, the Department for Levelling Up, Housing and Communities rejected the findings and said it was committed to delivering 300,000 new homes a year.

Developers say the crisis is the result of changes to planning policy and over-strict enforcement of environmental regulations, according to a study by the federation.

Stewart Baseley of the HBF said: ‘The increasingly anti-development and anti-business policy environment poses a real threat to housebuilding and is inevitably at the forefront of minds when investment decisions are being made.

‘As we try to tackle the housing crisis during a recession, with tighter mortgage availability and no government scheme to assist buyers purchase new builds for the first time in decades, short-term political decisions to appease backbenchers seriously threaten confidence.’

However, a spokesperson for the Department for Levelling Up, Housing and Communities said: ‘We do not accept this analysis.

‘We remain committed to delivering 300,000 new homes per year remains and we are investing £11.5bn to build the affordable, quality homes this country needs.’

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