The latest Ministry of Housing, Communities and Local Government data states there were a total of 163,250 new build completions last year. In addition, a total of 162,180 new build starts were recorded, a year-on-year increase of 5%. However, the figure for new starts fell in the final quarter of 2017 by 1% versus the same period in 2016.
High rates of new build starts were recorded west of the London commuter belt and across the Midlands to East Anglia. Council areas with particularly high new start rates include Northamptonshire, Essex and South Derbyshire while Croydon, Northamptonshire and Kent all recorded high completion rates.
-- Advertisement --
Despite the upward trend, Head of Construction at audit, tax and consulting firm RSM, Kelly Boorman, said the housebuilding industry still hasn't returned to pre-crash levels.
"The current figures also underline how difficult it will be for the government to meet its target of 300,000 new homes annually by the mid-2020s." she said.
"Despite government efforts to improve the planning process, some developers continue to be frustrated by what they perceive to be unnecessary delays and obstacles in obtaining planning permissions.
"At the recent Spring Statement, the Chancellor reiterated the government's plan to invest £44 billion to raise housing supply and provided an update on recent developments. Specifically, he mentioned the 44 authorities who have bid into the £4.1 billion Housing Infrastructure Fund and announced the deal with the West Midlands to commit to delivering 215,000 homes by 2030-31, facilitated by a £100 million grant from the Land Remediation Fund.
"He also hinted at further policy announcements at this year's Budget to address the problem of the gap between planning permissions granted and housing completions.
"While we don't yet know the details, construction firms should be keeping a close eye on developments."
(LM/MH)
