Social housing starts continue to plunge despite Government’s efforts to boost the ailing sector.
Latest figures from the National House Building Council show public sector housing registrations plunging 41% for the rolling quarter March to May compared to 2011.
Just 7,000 new social homes were registered in the three-month period compared to 12,000 the year before.
Registrations to build private new homes, the current engine for much-needed growth in the UK’s overall housing supply, also decreased, down 3% at 20,035 in 2012.
The NHBC warned that year-on-year comparisons were still being slightly skewed by the Olympic Games.
Around 2,800 London Olympic Village properties split roughly evenly between the private and public sectors were registered during the comparison period last year.
Without the Olympic Village effect public sector home starts fell 33% and private sector homes rose 5%.
The West Midlands and Wales experienced overall net housing growth over the last three months.
Richard Tamayo, NHBC commercial director said: “Our registration statistics continue to show a divide between the direction of travel for private and public sector registrations in the UK – with social housing levels falling but slight increases in the private sector.
“It is clear the Government is maintaining its focus on increasing housing levels, as seen by Vince CabIe’s recent housing crisis summit with Grant Shapps.
“It is critical that we also continue to monitor initiatives such as the NewBuy scheme to assess their success in increasing the number of new homes built across the UK.”
Mike Leonard, director of the Modern Masonry Alliance said: "The writing is on the wall! Lack of public rented homes will continue to widen the gap between the haves and have nots leading to social breakdown.
"Things have only got worse since the riots of Summer 2011 as rising unemployment combines with cost of living increases to disenfranchise millions of people and particularly the young.
"Lack of growth and jobs and the loss of manufacturing capacity will have a long term profound effect on UK PLC unless we take urgent action now.
"We need to build 25000 additional public rented homes. We have the demand, the products, skills and desire to deliver this within 18 months. All we need is the clear funds to proceed.
"We are fast running out of time so let's Get Britain Building!"
UK new home registrations (Mar-May)
Region | 2012 | 2011 |
England – Regions | ||
North East | 784 | 750 |
North West | 2,380 | 2,340 |
Yorkshire & the Humber | 1,264 | 1,755 |
West Midlands | 2,271 | 1,879 |
East Midlands | 1,974 | 2,094 |
Eastern | 2,923 | 3,788 |
South West | 2,727 | 2,738 |
Greater London | 4,033 | 9,164 |
South East | 4,178 | 4,651 |
Totals for England | 22,534 | 29,159 |
Scotland – Councils | 2,848 | 2,167 |
Wales – Unitary Authorities | 1,286 | 750 |
Northern Ireland – Counties | 427 | 480 |
Isle of Man | 30 | 6 |
Totals for UK | 27,125 | 32,562 |