McBains
Menu
Close
  • Home
  • About Us
  • Capabilities
  • Sectors
  • Projects
  • Crown Commercial Service (CCS) Framework
  • Careers
  • News
  • Contact
Recent Projects
  • Broadwater Road
    Broadwater Road View Case Study
  • Foxhill
    Foxhill View Case Study
  • Wixams Village
    Wixams Village View Case Study
  • Kingsmere
    Kingsmere View Case Study
  • Salford Priors
    Salford Priors View Case Study
  • Northstowe
    Northstowe View Case Study
Lagan Homes Development
  • Home
  • /
  • News
  • /
  • Housebuilding Rates Increasing But Doubts Remain Over Government Housing Targets Being Met, Survey By McBains Shows

Housebuilding Rates Increasing But Doubts Remain Over Government Housing Targets Being Met, Survey By McBains Shows

More than half of housebuilders increased the rate at which they built new homes over the last year and predict a further rise over the next 12 months, according to a new survey published today.

Despite this, less than half of housebuilders think the Government target of building 300,000 homes a year on average by the mid 2020s is achievable.

The survey of more than 400 housebuilding companies in England was carried out for McBains, the leading construction consulting and design agency.

More than half of respondents overall (57%) reported they had increased their rate of housebuilding over the last 12 months. Overall, housebuilders said they had built, on average, 201 homes over the last year. This was expected to rise to 297 over the next 12 months.

However, respondents to the survey cited worries over land availability, slow planning permission and skills shortages as barriers to preventing them building more homes.

Around half of respondents (48%) said these factors would also make it difficult for the government to meet its target of building 300,000 homes a year on average by the mid-2020s.

The main findings of the survey are:

  • More than half of respondents overall (57%) reported they had increased their rate of housebuilding over the last 12 months, rising to 66% in London. 11% decreased their rate while for 32% the rate stayed the same.
  • Of those that stated a decrease, the most popular reasons were: not enough available or appropriate land (34% – and 44% in London); planning permission taking too long (34% – and 67% of respondents in London); and not enough skilled labour (34%). One in five respondents in London cited non-availability of finance).
  • All respondents were asked what the biggest issues affecting the amount of homes they can build. The most cited issues were: land availability (55%); slow planning permission (49%) and skills shortages (47%).
  • Less than half of respondents (48%) think the Government target of building 300,000 homes a year on average by the mid 2020s is achievable. 42% think it can be achieved with 11% undecided.
  • Of those who don’t think the target is achievable, the most popular reasons cited were: not enough available or appropriate land (49% of respondents); not enough skilled labour (40%); planning permission taking too long (39%); and non-availability of finance (32% – and 47% in London).
  • Of the homes to be built over the next 12 months, housebuilders expected one in five (22%) of these new homes to be classed as affordable homes for rent or sale.

When asked what one single thing housebuilders thought the Government or Homes England should prioritise for the industry to increase housebuilding, the most popular responses were: incentivise large construction companies to develop more expeditiously to dissuade them from holding onto land, such as introducing a land value tax (24% of respondents); and provide loan finance to help support small and medium sized developers build more homes (19%).

Clive Docwra, Managing Director of McBains, said:

“Today’s survey is encouraging in that housebuilders are increasing the rate at which they’re building homes.

“However, issues such as a lack of appropriate land, slow planning permission and skills shortages remain significant factors holding back construction, which is why the majority of respondents are sceptical that the government’s housing targets will be met.

“In particular, the construction industry relies on thousands of skilled EU workers because of skills shortages in the domestic workforce, and with these workers potentially prevented from working in the UK after the Brexit transition period ends in 2021, many housebuilders will be struggling to find the workforce needed to build the new homes we urgently need.

“And for those people struggling to get a foot on the property ladder, the finding that only around one in five of new homes to be built over the next year will fall into the affordable category will be disappointing.”

In the press:

The Times: https://www.thetimes.co.uk/article/workspaces-woo-buy-to-let-investors-60h393cc2
24 Housing: https://www.24housing.co.uk/news/housebuilding-rates-increasing-but-doubts-still-remain/
Show House: https://www.showhouse.co.uk/news/less-than-half-of-housebuilders-think-300000-homes-a-year-is-achievable/
PBC Today: https://www.pbctoday.co.uk/news/planning-construction-news/housebuilding-rates-increase/53010/
Specification Online: https://specificationonline.co.uk/articles/2019-02-25/hca/doubts-remain-over-government-housing-targets-being-met
Building: https://www.building.co.uk/news/housebuilders-warn-governments-300k-homes-target-is-unachieveable/5098045.article
Property Wire: https://www.propertywire.com/news/uk/more-homes-will-be-built-across-england-but-government-target-may-not-be-met/
Construction Index: https://www.theconstructionindex.co.uk/news/view/house-builders-step-up-build-rate-but-doubts-remain-that-target-can-be-met
Building Products: https://buildingproducts.co.uk/176178-2/
Planning Resource: https://www.planningresource.co.uk/article/1562898/housebuilders-express-doubt-governments-300000-home-target
Landlord Today: https://www.landlordtoday.co.uk/breaking-news/2019/2/significant-issues-holding-back-construction-of-much-needed-new-homes?source=newsticker
Scottish Construction Now: https://www.scottishconstructionnow.com/article/england-housebuilding-rates-increasing-but-doubts-remain-over-government-housing-targets-being-met-new-survey-shows

27th February 2019

You might be interested in...

McBains partners with CleanConscience

McBains partners with CleanConscience

05th January 2021

McBains partners with charity specialising in reclamation and redistribution of redundant or surplus assets to save 348 tonnes of CO2e and 78 tonnes of waste from two hotel refurbishment projects.

How Retail Parks Can Rise From The Ashes

How Retail Parks Can Rise From The Ashes

04th December 2020

McBains has placed an opinion article on the Retail 365 website - a ​sector-specific news portal with ​​​an estimated 8,000 monthly visitors.

Property Week publishes investment analysis report by McBains

Property Week publishes investment analysis report by McBains

01st December 2020

McBains has placed an article in Property Week analysing the commercial property market in London. ​The report analyses commercial property transactions over £100 million in the capital in the 12 months to June 2020.

McBains Explains

Get the latest insights from McBains and industry news to your inbox each month.

By submitting your email address you are agreeing to us storing your data for the purpose of sending you a newsletter.

Explore McBains

Our capabilities
  • Architecture
  • Project Management
  • Quantity Surveying
  • Building Surveying
  • Employer's Agent
  • Mechanical & Electrical Engineering
  • Civil & Structural Engineering
  • Project Monitoring & Due Diligence
  • Masterplanning & Urban Design
  • Digital Engineering (BIM)
  • Crown Commercial Service (CCS) Framework
  • Sustainability
  • Principal Designer / CDM Advisor
  • Dispute Resolution
  • Infrastructure Concessions Consulting
Your sector
  • Education
  • Financial
  • Health
  • Heritage
  • Hotels & Leisure
  • Housing & Masterplanning
  • Industrial
  • Motor Retail
  • Offices
  • Police & Custodial
  • Private Residential
  • Public Sector
  • Retail
  • Social Housing
  • Transport
  • Urban Regeneration

© 2021 McBains – Privacy Policy

Brand by David Carroll & Co . Design by Mutual & CIB

Compile your custom collection of content from around McBains to quickly share with your colleagues

Manage collection
Share collection
Download as PDF

Added to collection

Removed from collection

Your download will begin shortly.

https://mcbains.co.uk/s/{shortCode}