Master Builder Magazine: February-March 2024

INDUSTRY UPDATE VIEWPOINT

The FMB gives its viewpoint on the headlines affecting the construction sector Viewpoint

Making better use of local house builders is the best solution to tackle planning objections from communities not wanting new homes, the FMB said in response to comments from Secretary of State for Department for Levelling Up, Housing and Communities Michael Gove MP. Brian Berry, Chief Executive of the FMB said: “If the nation’s small house builders can return to levels of delivery they enjoyed a few decades ago, small high-quality sites can become the norm across the UK. We can return to organic, sustainable housing growth, rather than relying on large- scale, cookie-cutter housing. “A lack of a local plan is particularly difficult for smaller house builders, who have named land availability one of the biggest barriers to delivering new homes. However, changes made to stop local authorities allocating greenfield land for development to meet housing needs will result in less housing, particularly in rural areas which are the heartlands of smaller house builders.” Let local builders lead

Fall in industry output undermining economic growth

ensure people have access to quality homes, this decline will likely continue.” Berry acknowledged the Government’s “positive measures” announced in last year’s Autumn Statement, such as proposals to speed up planning decisions and providing tax cuts to small businesses. “But these proposals alone do not go far enough. A wide-reaching, industry specific plan will be necessary to support local house builders to ensure they can deliver the scale of housing that Britain is in desperate need of,” Berry concluded.

The continued drop in construction output, accelerated by the decline in house building – according to recent S&P Global/CIPS UK Construction PMI data – demonstrates the need for the Government to turbocharge economic growth, the FMB argued. FMB Chief Executive Brian Berry said: “The civil engineering and commercial sectors are showing weakness, and with employment rates decreasing for the first time in 10 months, there are worrying signs for the future of the construction industry. “If the Government fails to boost the UK’s house building rates and does not

RMI work is bolstering overall construction activity The 2.2% rise in repair, maintenance and improvement (RMI) building work late last year is holding up an overall fall in construction activity, the FMB said. The 2.2% figure comes from recent data by the Office for National Statistics (ONS). Brian Berry, Chief Executive of the FMB, said: “Overall, the construction sector is struggling with the three months to October seeing a 0.3% decline, which is worrying, but small local builders committed to RMI work are propping up the industry. The largest concern for smaller builders will be those engaged in house building, who are seeing a tough market. With a new Housing Minister in place, pragmatic solutions are needed to help kick start the creation of new homes, or better yet, a long-term plan for housing.”

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