New housing planning pipeline swells

Aaron Morby 12 years ago
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The number of new home being granted planning permission in England during the third quarter of the year soared 31% against last year to 44,251.

According to the Home Builders Federation’s Housing Pipeline report produced by Glenigan this is the highest Q3 figure since 2007, and 19% ahead of the preceding three-month total.

The 12 month total to September is 166,978, 44% up on the 2011 trough.

The planning figures are the latest positive indicators to emerge for house building and suggest stronger activity is set to follow.

Stewart Baseley, Executive Chairman of the HBF, said: “We have already seen evidence of a rise in new homes starts and these figures show the industry’s intent to increase and sustain that over the next few years.

“Developers are building out current sites more quickly and are now looking to invest in new sites and begin development sooner than previously planned.

“The figures reflect the positive principles of the new planning system. They are also a clear demonstration that builders are looking to increase supply as a result of increased market confidence generated by the Help to Buy Equity loan scheme.

Last week official Government statistics showed the number of private sector new homes started in England during the third quarter was up 29% year-on-year to the highest level since Q1 2008.

While new home warranty provider NHBC said registrations of new homes in the same period were up 19% on last year.

But the total figure is still well short of the 60,000 permissions required on average per quarter to meet the country’s level of housing need.

House builders are also concerned that many residential planning permissions come with long lists of ‘conditions’ that local authorities then take a long time to clear, delaying work starting on new sites.

Baseley added: “If we are to see the required increase in supply continue we need to see all local authorities playing their part.

“Increasingly we are seeing onerous conditions being attached to permissions that unnecessarily delay work starting on new sites.

“There are now tens of thousands of plots with permission but which house builders cannot start. This is a situation that Local Government – and ministers – need to urgently address if we are to see recent home building increases sustained.”

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