Leaders of the Get Britain Building coalition have issued a stark warning to the Government ahead of this week's critical budget statement.
With factories closing and a predicted 450,000 job losses by 2010, campaigners say the industry is already at breaking point and requires urgent intervention to stimulate demand and provide social housing. If this vital industry is to disappear, they say, the UK will become totally dependent on imports which, with a need for 3m new homes, will put the country's long term economic future at risk.
With one home being repossessed every seven minutes and ever growing housing waiting lists, the time has come to take decisive action, said spokesperson Mike Leonard.
"If the Government acts now it can still protect the building materials manufacturing base and builders merchants. They will also retain the skills that are both vital to the long term prosperity of UK plc," he said.
"By announcing a cut in VAT to 5% on home improvements, the Government will encourage the renovation extension of our 24m housing stock and protect many thousands of small businesses and retain and create employment. This action is now possible due to the removal of European restrictions, and a long term trial in France suggests that the initiative will be cash positive."
The coalition is also pushing for greater investment in social housing as Government targets for new housing are being substantially missed.
Mr Leonard said: "By committing public money to build 75,000 houses this year and next, those on waiting lists and many thousands of jobs will be protected. This will offer a vital bridge to the point where liquidity returns to spurn the growth of the private housing sector."
FOR FURTHER COMMENT PLEASE CALL MIKE LEONARD ON 07778 842831
