SMEs should be harnessed to help build 1.5m new homes

Smaller housebuilders must be part of the push to build 1.5m new homes over the next five years if Labour is elected, says the construction industry. Labour leader Sir Kier Starmer told party conference delegates they would ‘bulldoze’ the planning system and harness development corporations to build new towns across England. “There is one barrier so big, so imposing that it blocks out all light from the other side. “A blockage that stops this country building roads, grid connections, laboratories, [...]

SME housebuilders win reprieve on biodiversity rules

Smaller housebuilders are hoping the government’s decision to delay biodiversity net gain, BNG, rules until next year will lead to more practical requirements. Although the housebuilding industry has supported the concept of a ten per cent BNG, on or off-site, they were worried the new rules would put SMEs out of business. National Federation of Builders, NFB, chief executive Richard Beresford said: “We have worked incredibly hard on strategies to ensure BNG can work in practice and the announced delay [...]

Housebuilders challenge on heat pumps still stands

Despite the prime minister Rishi Sunak’s plans to water down net zero targets on gas boilers the goal to fit all new homes with heat pumps by 2025 still stands. Industry experts worry there are insufficient qualified installers to scale up from fitting 60,000 heat pumps last year to an estimated 250,000 a year by 2025. Currently, there are about 3,000 qualified installers but innovation foundation Nesta has calculated the country will need 27,000 by 2028 to hit current government [...]

By |2024-07-03T05:43:40+00:00September 20, 2023|News, Advice, Auctions, Blog, Business, Finance News, Planning News, Projects|0 Comments

River pollution rules changed to unlock building of 100,000 homes

Housebuilders have hailed the government’s decision to shift the burden of river nutrient neutrality to the water companies as a step in the right direction. The Government is to double investment in Natural England’s nutrient mitigation scheme to £280m to offset the nutrient discharge of building up to 100,000 new homes between now and 2030. It will also amend the levelling up and regeneration bill requiring water companies to upgrade their treatment works by 2030 in areas of ‘nutrient neutrality’. [...]

Large construction firms slice 15 days off average payment times

Major building contractors have improved their average payment times from 45 to 30 days after receipt of invoice, according to Build UK data. They are also paying 95 per cent of invoices within 60 days, which is a key target for government contracts. And 83 per cent are paying invoices within agreed terms compared with 63 per cent in 2018. Build UK deputy chief executive Jo Fautley said: “Since Build UK first began benchmarking payment performance five years ago, the [...]

Lenders should adjust affordability criteria for buyers of new homes

The housebuilding industry is calling on lenders to offer mortgages at more favourable rates for those buying new homes where energy bills are less than half that of existing properties. The Home Builders Federation Watt a Save report reveals owners of new homes will save an average of £135 on running costs under Ofgem’s new price cap. HBF managing director Neil Jefferson said: “As mortgage affordability gets tougher, rental costs increase and the country’s need for homes grows increasingly desperate, [...]

Dwindling workforce poses threat to future housing delivery

The building industry says the sector is facing a retirement cliff with one in five builders aged over 50 and wants the government to improve training to avoid a housebuilding slump. The Homebuilder Federation, HBF’s latest workforce census revealed just one in four students gained employment after completing a full-time construction course. The trade body said this showed the UK education system was failing to deliver ‘practical and employable’ skills. HBF executive chairman Stewart Baseley said: “As the country’s demand [...]

New levy jeopardises brownfield and mixed-use sites, warn landowners

Councils will struggle to set viable rates for developing brownfield and urban sites under the new infrastructure levy, warn landowners. The British Property Federation, BPF, argues that the levy is not site-specific and that this will have a negative impact on affordable housing provision. BPF policy director Ian Fletcher said: “The idea of bringing in a new infrastructure levy is to remove the complexities experienced under the current system of contributions, but the new levy has fundamental structural challenges and [...]

SME developer pulls out of 200-home scheme following Gove’s intervention

Midland’s housebuilder A C Lloyd has withdrawn its application to build 200 homes on agricultural land in Warwickshire despite having secured outline planning permission. The move follows levelling up and housing secretary Michael Gove’s decision to call in the developer’s reserved matters application on design grounds. The housebuilding industry views Mr Gove’s increasingly interventionist approach over how a scheme looks as a worrying trend. National Federation of Builders, NFB, housing and policy head Rico Wojtulewicz said: “If it’s so important [...]

Green belt housebuilding embargo will go if Labour is elected

Small housebuilders must be given a slice of the action if Labour follows its promise to build on green belt to meet housing needs, urges the Federation of Master Builders, FMB. The Labour leader Sir Keir Starmer has announced that if his party wins the next election, it will bring back local authority housing targets and back ‘builders not blockers’. “We've got to drive housebuilding at pace. We need to put local areas in charge of that so change the [...]

April’s house price rise offers glimmer of hope

House prices were up by half a per cent in April after seven months of consecutive falls, according to the latest figures from Nationwide building society. The average UK house cost £260,411 compared with £257,122 in March, although year-on-year growth for April remained negative at minus 2.7 per cent. Nationwide’s chief economist Robert Gardner said: “In recent months industry data on mortgage applications point to signs of a pickup. “If inflation falls sharply in the second half of the year, [...]

Construction needs an image makeover to attract more recruits

Nearly a quarter of a million extra people are needed in construction by 2027 but outdated perceptions mean it is often overlooked as a career, according to a new report. The Chartered Institute of Building, CIOB’s The Real Face of Construction survey showed 57 per cent of respondents perceived average annual earnings to be lower than the true figure of £36,000. CIOB chief executive Caroline Gumble said: “Our survey shows there are big misconceptions around earning potential, job prospects and [...]