Housing starts in the United Kingdom (UK) continue to struggle, but it’s not entirely for lack of need. The National House Building Council reports that home building is down 4% from the same time last year and is contributing to an undersupply of housing that critics argue is hampering the UK’s economic growth. The government has attempted to institute policies that will help jumpstart house building, but the moves have not had a noticeable effect. Both private- and public-sector building registrations are down from the same period in 2011, by 11% and 33%, respectively. For more on this continue reading the following article from Property Wire.
House building levels are continuing to fall in the UK and are 4% below this time last year, according to the latest figures published today (Friday 28 September) by the National House Building Council.
In August 2012, the number of new homes registered with NHBC dropped to 9,553 compared with 9,978 in August last year and taking overall year to date totals for 2012 to 72,740 applications, a 15% decrease on the same period in 2011.
‘Viewing new home registration figures in absolute terms, year to date, underlines the real scale of the challenge facing the whole house building industry at the moment,’ said Richard Tamayo, NHBC commercial director.
Earlier this month the UK government announced a series of measures aimed at supporting the house building industry, in its capacity as a key driver for economic growth and these measures are certainly needed, he pointed out.
‘But their success will only be realised through a concerted effort by the industry and government to ensure they are taken forward. The continued undersupply of new housing means that the UK is missing out on a potential source of much needed economic growth; this obviously needs to be addressed,’ added Tamayo.
The NHBC data also shows that for the rolling quarter from June to August 2012 the total number of registrations was 29,272, an 18% decrease on the same period last year when it was 35,854.
Of these private sector registrations in June to August decreased by 11% compared with the same period in 2011 and public sector registrations decreased by 33%.
This article was republished with permission from Property Wire.