Housing approvals wobble in second quarter

Aaron Morby 12 years ago
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The flow of housing planning approvals eased during the second quarter of the year to just over 37,000 units, down 8% on the first three months.

But the housing recovery still maintained momentum with the number of homes granted planning approval during the first half 22% up on a year ago to 77,686 units.

Even so this figure falls well short of the 220,000 new homes needed each year to stand a chance of chipping away a growing housing need.

But construction information specialist Glenigan’s research shows that the moving annual total is steadily moving in the right direction, jumping by a third to 156,608 approvals, since the trough of 117,067 two years ago.

Planning permissions granted now will, in the main, be built over the next three or four years.

Allan Wilén, Glenigan’s economics director, said: “While off the high point seen at the end of 2012, the number of approvals remains significantly ahead of a year ago.

“The current strengthening in housing market activity points to a further potential rise in planning approvals during the second half of the year as housebuilders bring forward sites for development during 2014.”

House builders have warned that planning conditions attached to many permissions are preventing construction work starting on sites.

Stewart Baseley, executive chairman of the HBF, said: “At a time when developers are looking to build more much-needed homes, we are increasingly concerned by the conditions attached to many of these permissions that prevent actual work starting on site.

“Local authorities must ensure planning conditions are not overly onerous or unrealistic otherwise despite the success of Help to Buy, the much needed increase in housing supply will be held back.”

In some cases more than a hundred separate items have been attached to approvals causing costly delays to construction – sometimes taking years after the permission has been granted to meet satisfactorily.

 

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