The UK could be 25,000 homes a year nearer to tackling the urgent housing crisis if the sharp decline in the contribution of SME housebuilders could be reversed, according to a report published yesterday (Jan 10) by the House of Lords Built Environment Committee.

The report, which gained the immediate praise of the Federation of Master Builders, says the number of small and medium firms has halved since 2007, adding: “The loss of SME housebuilders has clearly affected the industry’s ability to meet its housebuilding targets. The Home Builders Federation calculated that returning to the number of home builders operational in 2007 could help boost housing supply by 25,000 homes per year. Even a return to 2010 levels could help increase output by 11,000 homes per year.”

FMB Chief Executive Brian Berry replied: “The findings of this report show the invaluable contribution that SME house builders can have in boosting housing numbers and delivering quality homes. It recognises key solutions, with sensible recommendations to tackle the lack of available land and the complex planning system.

“To reverse decades of declining numbers of small, local house builders, the Government must listen. Greater adoption of the proposed ‘master developer’ schemes on large sites to unlock access to stable development opportunities is welcome, but more needs to be done to increase land availability, such as identifying small, underutilised sites in local plans. Fast-tracking applications from small builders would make a real difference, as would addressing skills shortages.”

The report can be accessed at: https://publications.parliament.uk/pa/ld5802/ldselect/ldbuiltenv/132/13208.htm#_idTextAnchor075 

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