Jobs, Growth and Social inclusion

Public housing starts down a third from Nov-Jan

Public housing starts down a third from Nov-Jan
Government spending cuts are starting to hit starts despite efforts to develop new funding streams. According to the latest NHBC housing registration figures social housing starts fell 20% in January to 1,850, compared with 2,304 the year before.

The three-month rolling total for public housing starts was worse again, down a third on the same period last year.There is now a widening gap between public and private sector homes, which recovered 9% to 7,831 in January.

But even the three-month figures for private homes, which give a pointer to trends, was 8% down on the same period a year earlier.

Overall, the level of new homes registered with NHBC remained flat in January, but down 16% on the three-month year-on-year comparisons.

Regionally. the north and south west edged forward with all other regions, including London, showing declining number of registrations over the three-month period.

Richard Tamayo, Commercial Director of NHBC, said: “January 2012 volumes are, in aggregate, marginally up on January 2011 levels but with a slowing of activity in the public and social housing sectors.

“A variety of economic headwinds such as consumer uncertainty and restricted access to both development and mortgage finance have combined to restrain the growth in new home production that the country desperately needs.

“Government has targeted measures at stimulating and supporting both private and public housing supply; the next few months should begin to give us an indication of how effective those measures will be.”

Mike Leonard, Director of the MMA said, "The fall in Social housing numbers was inevitable following the massive cut in the housing capital grant.

"The result is a further extension of the massive housing crisis which threatens to cause major social and economic problems for our whole society.

"The Chancellor has to use the limited but significant headroom he has to do what is right for our country and not just stimulate the demand for Chinese goods!

"We need to build 25000 additional social homes between now and the end of 2013. A £2 billion investment will bring massive returns with 92 pence in every pound spent staying in the UK.

"Many thousands of jobs will be created helping the one million under 25's who are desperately looking for work.

"The business case for building new social homes is irrefutable if we are to turn around our economy."

 
Region November 2011
– January 2012
November 2010
– January 2011
England - Regions    
North East   926  828
North West  2,000  1,439
Yorkshire & the Humber  1,140  1,134
West Midlands  1,545  2,063
East Midlands  1,577  1,780
Eastern  1,968  3,838
South West  2,451  2,244
Greater London  2,977  4,649
South East  3,755  4,274
Totals for England  18,339  22,249
     
Scotland - Councils  1,716  1,712
Wales - Unitary Authorities  657  574
Northern Ireland - Counties  392  486
Isle of Man   6  1
     
 Totals for UK  21,110  25,022

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