A total of 29,281 new homes were registered to be built in April to June 2024, down from 37,861 a year earlier, according to an industry body
The National House Building Council (NHBC) has reported a 23% decrease in the number of new homes registered across the UK in Q2 this year, compared to the same period in 2023.
A total of 29,281 new homes were registered for construction between April and June 2024, a significant drop from the 37,861 registered during the same period the previous year. The NHBC, which holds a 70%-80% share of the UK warranty market, uses these figures to gauge the stock of new properties in the pipeline as homes are registered with them prior to being built.
In the second quarter of this year, the NHBC reported that 33,847 new homes were completed, marking a 6% decrease from the same period in 2023 when 36,145 homes were completed. Despite the annual decreases, the NHBC noted that new home registrations and completions have increased by 34% and 29% respectively when compared to the previous quarter.
Ahead of the general election, Labour made housebuilding a central part of its policy plans. During the King’s Speech, the Government announced that the Planning and Infrastructure Bill will reform the system to help achieve the goal of constructing an additional 1.5 million homes over the course of the Parliament, focusing on “how, not if” properties are built.
Last week, Housing Secretary Angela Rayner stated: “We know we have a mountain to climb. That is why we’re already taking the first steps, starting with an overhaul of our planning system a reform that will both help build the homes we need and speed up the infrastructure to support them.”
“We are committed not just to an ambitious target for overall housebuilding but the biggest wave of social and affordable housing for a generation. It’s a promise that we’ll bring back with meaningful housing targets.”
Steve Wood, NHBC’s chief executive, acknowledged, “We welcome the new Government’s policy to deliver 1.5 million homes over the next five years, even if our new-build registration numbers show there is a mountain to climb.”
He said scaling up will “take time” but encouragement can be taken from the Government’s announcements. He emphasised, “More must be done to close the national skills gap.”
The NHBC head pointed out the labour shortfall that could hinder progress: “With an ageing workforce, a lack of skilled workers could seriously slow down Labour’s plans.”
Mr Wood continued: “Meeting the Government’s housing goals will require significant changes, commitment and investment across industry. At NHBC we will be seeking to ensure new homes are built to the quality owners and occupiers should expect, and that this is maintained during any period of growth. This will pay dividends in the long term for the industry, for local communities and for home occupiers.”
To give a snapshot of the housing sector’s recent performance, here are the NHBC’s figures for new home registrations in the second quarter of 2024, along with the annual variation:.
North East, 1,390, minus 20%
North West, 2,430, 8% increase
Yorkshire and the Humber, 1,415, minus 56%
West Midlands, 2,731, minus 3%
East Midlands, 3,470, minus 25%
Eastern England, 4,380, 6% increase
South West, 2,330, minus 38%
London, 2,191, minus 49%
South East, 4,712, minus 27%
Scotland, 2,816, 4% increase
Wales, 883, minus 25%
Northern Ireland and Isle of Man, 533, minus 16%
