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Industry welcomes Government’s increased housing targets

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The Home Builders Federation (HBF) has welcomed The Government’s announcement to overhaul the planning system to help deliver its ambitious housing targets.

Credit: Benjamin Elliott / Unsplash

The industry body expressed support after deputy prime minister Angela Rayner unveiled mandatory housing targets for all councils in England to meet Labour’s targeted 1.5 million homes

HBF criticised the current state of the planning system, arguing it has ‘failed’ to provide the amount of land needed to address affordability pressures and lack of housing targets leading to plummeting housing supply.

Currently just a third of councils have a plan that is under five years old.

The housing minister also laid out plans to allow for more building by reclassifying low-quality green belt land as the ‘grey belt’.

A HBF statement, signed by more than 30 home builders, promises to make changes to rapidly increase the pace of housebuilding, delivering high-quality and affordable homes, providing skilled jobs and contributing to ‘turbo-charging’ economic growth.

Neil Jefferson, HBF chief executive, said: “Today represents the first and most important step ministers have taken in addressing the barriers to delivering new homes.

“The scale of the government’s housing ambition has given hope to the home building industry that stands ready to increase supply and tackle the country’s housing shortage.

“A reformed, more progressive planning system that requires local authorities to meet their communities’ housing needs is a major step forward to address the barriers to delivery.

“The housing market is complex and bringing more land through the planning system will help to turn around ailing housing supply provided affordable mortgage finance can be accessed and buyers are able to purchase new homes.”

The deputy prime minister penned a letter to every council Leader stating: “not just a professional responsibility but a moral obligation to see more homes built.”

The new mandatory housebuilding target under Labour would rise to 370,000 a year from rise from 300,000.

Between 2022-2023 only 212,570 new homes were built.

HBF’s sentiment has been shared by the Federation of Master Builders (FMB) but emphasises the need for more builders to meet housing targets.

FMB’s chief executive, Brian Berry, said: “The UK’s planning system has long been in desperate need of reform. 

“The return of national housing targets is good news as is the requirement for councils to demonstrate a five-year land supply for new housing.”

“We are far too reliant on too few developers to build homes, with smaller developers pushed to one side, damaging competition, and consumer choice.

“The 50 per cent affordable target on brownfield sites is a concern as many small developers can’t get housing associations to buy their section 106 social homes, meaning homes are going unbuilt. Without reform of the social housing system, this will hold back delivery.

“Without a serious plan to boost the vocational skills system in this country, we’ll be unable to deliver 1.5 million homes.”

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