A weekly news summary covering all aspects of the housebuilding industry. Available to members only.
HBF News
Planning Timeline research completed
Over 24 member companies provided detailed information for the HBF “Planning Timeline” research. Thanks to all of the people who filled out the forms and dug out the data from their filing cabinets.
Data has been collected on over 580 different sites and the headline results will be published next week. As promised, all data has been aggregated and averaged and site-specific data will not be used.
The exercise was not intended to place blame for the delays but to use the information to ensure that HBF, and Government, address the areas of the process where the greatest performance gains can take place.
Seven days of Thames Basin Heaths SPA technical sessions begin
Seven days worth of technical sessions, examining the implications of the SPA on the wider South East regional spatial strategy (RSS) opened this week.
HBF’s consultants, EDP, presented their research on the opening day along with other presentations from the SE Regional Assembly, DCLG and Natural England (previously English Nature).
It is clear, from the first few days of discussion, that Natural England (supported by the RSPB) is coming under a great deal of pressure to be more flexible in their delivery plan proposals.
The assessor will report to the Chairman of the RSS Examination in Public with recommendations as to how the SPA should be dealt with as part of the RSS. However, his report is likely to be of considerable wider interest in our ongoing debate with Natural England over the issue.
HBF meets with regulators to discuss utilities
This week HBF has had a private meeting with regulators to review the situation surrounding the time taken for home builders to get utility connections. The results of the recent survey undertaken with our members appears to have had an effect and HBF has been assured that this, along with our consultation reply on the recent ‘Review of Competition in Gas and Electricity’, will be seriously considered. The results of this review are due out in the first quarter of 2007. In the meantime, HBF will continue discussions with regulators on the results of our survey and other member evidence.
Government News
Plans for a greener, family-friendly Thames Gateway
Plans for a greener Thames Gateway, with more family homes, better designed buildings and stronger leadership to fulfil its economic potential, were unveiled this week by Communities Secretary Ruth Kelly.
The Thames Gateway Interim Plan will lay down the foundations to create the conditions for 180,000 new jobs and 160,000 new homes over the next ten years, with over a third of these homes - 35 per cent - designated as affordable housing. Unlocking the economic potential of the Gateway, Western Europe's largest regeneration project, could contribute up to £12bn a year to the UK economy, the plan reveals.
The new plans for the Gateway have been drawn up under Government leadership by the Thames Gateway Strategic Partnership, which brings together all the public sector delivery bodies working in the Gateway.
The Interim Plan will announce the increased capacity for 160,000 new homes to be built over the next ten years with an extra 40,000 in the London part of the Gateway, on sites identified by the GLA as suitable for development.
Speaking at the Thames Gateway Forum, Ruth Kelly said:
“The long-term challenge of regenerating the Thames Gateway requires long-term commitment and focus from us and our partners. We are already seeing progress on the ground in the Gateway with new transport links, university campuses, jobs and homes; but for real success we must go further and faster”
LGA call for community to be at the centre of Thames Gateway
Speaking at the launch of the Thames Gateway Interim Plan, Sandy Bruce-Lockhart, Chairman of the Local Government Association stressed the need for community infrastructure to be at the centre of the Thames Gateway developments;
“The Thames Gateway is Europe’s biggest regeneration project with plans for 160,000 new homes and 180,000 new jobs. But it is not the numbers that ultimately matter; it is the quality of what is built.
“There are still too many soulless uniform flats, too few family houses, and still not enough that inspires. Houses of real quality are the priority with developments built around vibrant neighbourhood centres. Everybody must have access to local shops, green spaces, traditional squares where people can meet, and community facilities that bring people together”
Key policy documents due to be released before Christmas
A number of key policy documents are due to be released in the run up to Christmas. Next week the final version of the Planning Policy Statement 3 (PPS3) will be available. The following week, on Wednesday 6 December the Pre-budget Report will be accompanied by a further Planning-gain Supplement consultation and the Barker Review of Land-use Planning final report. In mid-December there will be an announcement on the Code for Sustainable Homes and a draft PPS on climate change.
Rollout for Standard Planning Application Form (1APP) announced
The timetable for the rollout of a standard planning application form for use across all English planning authorities was announced yesterday by the Government.
From October 2007, the National Standard Planning Application Form (1APP) will become the only official method of submitting a planning application for most types of consent (except for Minerals consent and building control applications) for all Local Planning Authorities (LPAs) in England.
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Gove: let's build on farmland
The Shadow Housing Minister has signalled a potentially big shift in Conservative thinking on house building by suggesting new homes should be built on unused farmland.
In a move which is likely to prove controversial with traditional Tories, Michael Gove told a development conference in London this week he would rather preserve green space in cities than in the countryside.
In an interview, Mr Gove told Inside Housing "My view is that urban green space is more valuable than rural green space. If we are looking at future development of course we should use brownfield land first but that is not going to be enough to meet our housing needs"
Speaking at the Housing Federation development conference in London this month, Michael Gove also stressed the need for more homes to take precedence over environmental concerns; "Dartford warblers and great crested newts should not have needs that supersede those of our children"
(Inside Housing, 24 November 06)
Housing Market
Rightmove report slowing of house price inflation
House price inflation slowed to 1.5% in November according to Rightmove, down from 2% in October.
Also reported is a fall in the number of properties outside of the stamp duty threshold - now only one in six.
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Economic News
October lending a new record, say CML
Gross lending hit a new monthly record in October of £30.3 billion, according to the latest data from the Council of Mortgage Lenders. Lending was up by 4% on the September figure of £29.2 billion, but down by 8% from the overall record of £33 billion in August. Lending was up 12% in comparison to October last year (£27 billion).
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Other News
Cooper warns against opposition to homebuilding
Housing Minister Yvette Cooper has warned that opposition to new homebuilding will lead to increasing affordability problems for first-time buyers.
The preliminary results from the English Housing Survey have shown the percentage of under 30s with mortgages dropping to 34% in 2006 from 40% in 2001.
The survey also showed that more and more parents are releasing equity in their homes to help finance their children's desire to join the property ladder.
The Minister has also warned that parents could find themselves under increasing financial pressure to help their children onto the property ladder if opposition to new house building continues.
Fourteen thousand people a year are releasing equity from their homes to help them buy another property, either for themselves or for family members, reveal new Government figures released this week. The average sum withdrawn is £74,000.
The figures also show the percentage of young people under 30 buying their own home with a mortgage has dropped. In 2001, 40 per cent of under 30 households were buying with a mortgage and 33 per cent were renting privately. By 2006, the situation had changed with 34 per cent buying and 41 per cent renting.
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AHIPP announce a further 12 locations for HIPs roll-out
Following the early roll-out of Home Information Pakcs (HIPs) in six locations in England, the Association of Home Information Pack Providers (AHIPP) is now ready to announce an additional 12 locations where its members will be offering consumers and opportunity to purchase a pack ahead of their mandatory introduction in June next year.
According to AHIPP, over 90 local businesses, including estate agents, pack providers and home inspectors in the first six locations have committed their support and signed up to take part in the early roll out which commenced on the 6th November in Newcastle.
AHIPP has now identified a further 12 locations where the packs will be Plymouth; Liverpool and the Thames corridor (from North Kent and London to the Channel).
Paul Broadhead, Deputy Director General of AHIPP said: “While criticism from a number of industry bodies cannot be ignored, we have in fact received a hugely positive response in the first six roll out locations from both industry and consumers. To maintain this positive momentum and to support the smooth introduction of packs next June, we are now extending the roll out, with our members in an additional 12 locations offering packs, as of January 2007”rolled out early in 2007: A section of the M4 corridor (to include Reading, Basingstoke and Wokingham); Manchester; Cardiff; Coventry; Hereford and the Marches; Bristol; Leicester; Chelmsford; Nottingham;
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NAEA stance on HIPs remains unchanged
The National Association of Estate Agents (NAEA) reaffirmed its position on home information packs (HIPs) this week: that HIPs should be repealed and the Government should look again at ways of improving the home buying and selling process on the basis that the energy performance certificate can be dealt with outside of HIPs.
Peter Bolton King, Chief Executive at the NAEA, comments: “We continue to urge the Government to rethink its current plans for HIPs. Serious concerns about the proposals as they stand have also been expressed by other stakeholders, including The Law Society, RICS and the CML - who recently referred to the HIP infrastructure as ‘a costly indulgence’.
Consultation/Key Publication Dates
Code for Sustainable Homes Implementation Early 2007
Home Information Packs (HIPs) Regulations:
Revised regulations published 14 June, further revisions required
HIPs Trials November 2006 onwards
HIPs Introduction 1 June 2007
Implementation of new DCLG structure went live 2 October
Planning and Pollution Control Consultation Closes 6 December
DTI/Ofgem Call for Evidence for the Review of Barriers and Incentives to Distributed Electricity Generation - closes 2 January 2007
Part B of Building Regulations:
Document Autumn
Implementation April 2007
Water Regulations Consultation Document Autumn
Full HBF Events Calendar
Review Latest Press statements
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Joanna Turner and John Slaughter