INDUSTRY UPDATE NEWS
If the government is to meet its ambitious target of building 1.5 million homes in the current Parliament, it will need to build 450,000 homes in its final year. The report, The road to 1.5 million new homes , by The Housing Forum shows that due to a projected stagnation of housing completions to around 160,000 in 2024, housing delivery would need to reach 450,000 in 2028/9 to hit the 1.5 million target – a number not seen since 1968. The report presents a timeline of policy changes and funding needed for the housing sector to meet the government’s target of 1.5 million homes, and stresses the need for ambitious planning reform, including: ● Resourcing the planning system ● Reviewing green belt land particularly around London ● Regenerating brownfield sites ● Funding infrastructure. Scan the QR code for the full report. 450,000 homes a year required
Tough times for UK housebuilders
U K housebuilders are under significant pressure in the face of ongoing labour shortages and high costs, according to new research. The Global Housebuilders’ Survey 2024 by PlanRadar, which gathered responses from 669 companies across 17 countries, shows that UK developers and housebuilders are struggling. Despite the struggles, there is cause for optimism. Demand for residential construction remains high, with 47% per cent of UK respondents saying they had received the same or more requests for services in the past year. Additionally, 75 per cent of UK housebuilders said they will explore new growth opportunities.
When asked about favourable solutions to the challenges, 68 per cent of UK housebuilders supported revised immigration policies to attract skilled labour from abroad and 57 per cent wanted fewer regulatory barriers to increase housing supply. Rob Norton, UK Director of PlanRadar, said: “Rising prices and labour costs are squeezing housebuilders worldwide, and the UK is feeling the pressure. With tighter regulations and shrinking profit margins, the message is clear: adapt or fall behind. These findings are a glaring litmus test for how the UK market is faring, and while challenging, there is hope. It’s time for the industry to innovate and thrive.”
The report reveals that:
78% of survey
65% face wage increases
76% cite project delays due to labour shortages, squeezing the profitability of projects
65% believe investing in technology would enhance profitability through increased efficiency
respondents grapple with rising building costs
10
Master Builder
www.fmb.org.uk
Made with FlippingBook - professional solution for displaying marketing and sales documents online