A weekly news summary covering all aspects of the housebuilding industry. Available to members only.
Home Information Packs: Result of House of Commons debate on 16 May
A last-ditch attempt by the Conservatives to stop the Home Information Pack regulations in the House of Commons failed yesterday. The Government won the vote by 72 votes, despite the Conservatives and Liberal Democrats uniting against the proposals.
The regulations will now be debated for a final time in the Lords on Tuesday 22 May.
RICS apply for Judicial Review against CLG
In an unprecedented move, the Royal Institution of Chartered Surveyors (RICS) has commenced Judicial Review proceedings against the Department for Communities and Local Government for its failure to carry out proper consultation prior to implementing new legislation to bring in HIPs.
Release of Planning White Paper
It is expected the Government's Planning White Paper will be published on 21 May. HBF will prepare a briefing note for members.
In a speech to the Fabian Society on 15 May, Yvette Cooper MP called for more homes to be built
She said: 'Over the last ten years, we have made substantial progress in several important areas of housing policy. That in part has prevented housing being the hot topic of national debate. But we have also seen serious rising pressures that have to be addressed - particularly around the supply of housing.
The housing decisions we take over the next few years will be critical to the life chances of the next generation. If we ignore those rising pressures for more homes - as some would have us do - we will see rising wealth inequality, constraints on aspirations and difficulties for our economy as well. And unless we do more to improve housing for growing children, we will be denying too many of them a good start in life'
She concluded: 'I believe that building more and better homes for our children must be one of the main priorities now for the Labour government looking forward to the next ten years.'
For full text of the speech please email Hannah McCullagh
Conservative house building record better than Labour
Responding to Housing Minister Yvette Cooper's comments that Conservatives are opposed to increased housing, Shadow Secretary of State for Local Government and Communities Caroline Spelman, said:
"We need to build more homes - but they need to be environmentally friendly and have the infrastructure to support them - such as transport links and water supplies. By rejecting unsustainable development, Conservative councillors are standing up for the interests of local people and the environment.
Shadow Housing Minister Michael Gove added: "If you look at the record, Conservative Governments have consistently outperformed Labour ones when it comes to delivering housing and in London it is Conservative councils that have led the way."
Brown outlines plans for eco-towns and affordable housing
On May 13 Gordon Brown outlined plans to build 200,000 new homes a year, "as quickly as possible" as well as developing five carbon neutral "eco-towns."
"Indeed we can combine the building of homes with building communities with combined heat and power, with a whole range of eco measures including better public transport, cycle lanes that actually make it possible for us to have a very much higher quality of life in our new buildings and in our new towns."
Brown discussed the possibility of further redevelopment of disused and brownfield sites in an effort to tackle the shortage of affordable housing. Although he acknowledged that planning could be complicated by "local issues", he predicted that such plans would cause "excitement... ...but it's in the interests of the whole community to develop."
There was an acknowledgement of the increased demand for social housing "for people who feel left out."
"We will have to increase the numbers. There is a pent-up demand; more households are being created than there are houses for them."
Labour still too slow in grasping the need for change - Chris Huhne MP
Commenting on Gordon Brown's announcement that the Government will create five new zero-carbon towns, Liberal Democrat Shadow Environment Secretary, Chris Huhne MP said:
"Labour is still far too slow in grasping the need for change.
"The Government should insist on state-of-the-art building standards from 2011, not just 2016, and use these eco-towns to boost mass production of insulating products, solar thermal heating and water units.
"With large numbers of eco-homes being built, costs will come down so that young couples will find it easier to get on the housing ladder as they will save more on energy bills than the extra cost of construction.
North West RSS Panel Report
The North West RSS Panel Report was published by GONW on 8 May. The report sets out the Panel's recommendations on the issues raised at the Examination in Public held in October/November 2006 and January/February 2007. The Panel recognised that circumstances had changed in some policy areas after the RSS was submitted and has therefore recommended an early and wide-ranging review - one key issue for review is highlighted as the identification of Housing Market Areas. In summary the Panel Report is very supportive of the 2003 ONS forecasts which are broadly in line with the RSS average net increase in dwellings to 22,844 per year up to 2021 and states that this proposes ‘a considerable relaxation of restraint policies that currently apply in the North West.' The Panel also states that local planning authorities should assume that the average annual housing number will continue for a limited period beyond 2021 for the purpose of preparing LDFs and this has been added to Policy L4. The Panel has further recommended the removal of Affordable Housing targets and a reduced PDL target from 80% back to the RPG figure of 70%.
View the full North West Panel Report
Yorkshire and Humber RSS Panel Report
The Yorkshire and Humber RSS Panel Report was published by GOYH on 4 May. The report sets out the Panel's recommendations on the issues raised at the Examination in Public held in September/October 2006 in Leeds. The Panel recognised that circumstances had changed in some policy areas after the RSS was submitted in December 2005, specifically new national guidance and new projections of household numbers published during 2006. The key change is that the Panel recommends a faster and steeper increase in the scale of house building from 2011 onwards than that proposed in the Plan - from 16,120 per year to 22,140 - about an extra 6,000 homes a year from 2011-16 and an extra 3,000 a year from 2016-21 up from the proposed 19,120. In general the Panel's view is that the ‘step change' in house-building rates that the Plan suggests should take place after 2016 should apply much earlier from 2011 and be more marked, although the numbers set out in the Plan for 2004-2011 should remain the same.
View the full Yorkshire and Humber Panel Report
House Building Trends
First-quarter housing completions in England were up 18% on the first quarter of last year, but starts were down 9%. Completions in financial year 2006/07 were up 3% on the previous year at 167,691.
While starts in the first quarter of 2007 were at a reasonably healthy level, they were 9% down on a year ago because last year's first quarter total was the highest seasonally adjusted figure since the late 1980s.
First-quarter starts and completions in most English regions were broadly in line with national trends. The most notable exception was the North West where first-quarter starts were down by almost a third and completions, contrary to the national increase, were down 9%. Possible explanations include delayed utility connections, which have been especially serious in the North West, and the continuing impact of planning moratoria in many North West local authorities.
Bank of England signals further rate rise likely
The Bank of England has signalled that another quarter point interest rate increase is likely during 2007. In its latest Inflation Report (16 May), the MPC's central projection is for CPI inflation to fall back initially, but then edge back up to the 2% target towards the end of 2008. However the Bank's central projection "assumes that Bank Rate follows the path implied by market yields". And the Report's table of market yields shows Bank Rate rising to 5.7% in the third quarter. The Inflation Report also says the risks to inflation "are judged to be balanced in the near term, and weighted to the upside in the medium term", another signal that rates may have to rise.
The Bank said recent housing market indicators had been mixed. It noted that the HBF survey measure of net reservations had been positive, whereas the number of mortgage loan approvals had declined and first quarter house price inflation had been lower than in the previous quarter.
A guide advising industry how to reduce damage to new buildings in flood risk areas has been published by Communities and Local Government, Defra and the Environment Agency
Improving the flood performance of new buildings: Flood resilient construction recognises that while planning policy aims to direct inappropriate development away from flood risk areas, some building will be necessary to maintain existing services and communities. Therefore, structures should be designed and constructed to keep people safe, reduce financial losses and speed up recovery.
Experts predict that climate change could mean an increase in the prevalence of flooding as we experience milder, wetter winters and hotter drier summers. It is therefore important to construct new buildings in flood risk areas in a way that minimises flood damage and resilience measures have a role to play in ensuring the safety and robustness of necessary development.
New funding to support pilot grant scheme for flood resilience has been launched by DEFRA
A £500,000 funding package to help make vulnerable homes more resilient to the threat of flooding has been announced by Minister for Climate Change and the Environment Ian Pearson.
Mr Pearson, speaking to a workshop on flood resilience hosted by the Association of British Insurers (ABI) in London, said that the funding supported the first phase of a pilot grant scheme for vulnerable households, which would be under increased threat as climate change increased the risk of flooding to low-lying areas of the UK.
Currently, around 470,000 properties in England and Wales are at risk of flooding, including 393,000 homes - this is likely to rise as the effects of climate change increase.
The funding will help to provide effective measures against flooding for vulnerable properties in England. These may include measures to stop water getting into the home, such as temporary door-guards or waterproof render, or to reduce damage if water does enter the home, such as water-resistant walls and floors or raising electrics.
Residential Car Parking Research
CLG published the results of research undertaken by WSP Ltd some time ago, which looked at the correlation between car ownership and parking demand in residential developments. HBF was represented on the research steering group. Although the publication categorically does not represent CLG policy it is likely that the findings and recommendations will be used by local authorities in setting their own local parking standards as required by PPS3.
Identifying Submarkets at the Sub-Regional Level in England
Although not representing CLG policy or guidance, the CLG publication of research undertaken by Glasgow University will be of considerable interest to those Regional Assemblies and Councils setting out to undertake Strategic Housing Market Assessments as required by PPS3.
HBF meets with Conservative Ministers
This week, the HBF met the team working for the Conservative Party front bench on housing and planning policy to explain the industry's requirements in order to achieve a consistent improvement in housing supply. It was agreed to maintain contact on this as well as the wider Built Environment work stream.
HBF voices concern over validation of planning applications
Executive Chairman Stewart Baseley has written to Housing and Planning Minister Yvette Cooper to seek her help in resolving our concern about the CLG's proposals for the validation of planning applications. In particular he sought retention of the current necessity test for justifying requests to applicants for additional information.
Stewart Baseley quoted by Economic Secretary, Ed Balls
In the proceedings of the Finance Bill in Committee in the House of Commons yesterday, the Economic Secretary Ed Balls MP quoted Stewart Baseley on the 2016 zero-carbon target. He was responding to Conservative doubts over the achievement of the target:
Ed Balls: Let me quote from Stewart Baseley, the Executive Chairman of the Home Builders Federation: "We welcome this package of measures in setting both the goal and direction for achieving more and greener homes. Progress will be achieved most effectively through a framework in which Government sets clear objectives, industry is given the space to deliver and consumers are on board."
That is exactly what we will achieve with these measures. Dave Hill, a developer in Upton, Northampton, said: "The costs of making a conventional home into a zero-carbon home aren't as bad as I thought. It gives me confidence that, in 10 years' time, we will be building them for the mass market."
View full transcript - quote taken from column 137
Housing Forum Regional Conferences
The Housing Forum is organising a series of nine regional conferences throughout the UK over the next year.
The HBF have a very limited number of complimentary places at these events, which we are able to offer to our members. If you would like to attend one or more of these conferences, please contact Rachael Pymm at the HBF on 020 7960 1607 as soon as possible.
The conferences announced so far include:
The Housing Forum North East Regional Conference, Chester-le-Street, 23rd May
The Housing Forum East Midlands Regional Conference, Leicester, 6th June
The Housing Forum Yorkshire and Humberside, Wakefield, 18th July
To book independently, or for details of the programme for these, and the other six conferences, please click here
HBF South West Ball
Book Now!! Just 3 weeks until the HBF South West Ball and there are still some tables available....
Tortworth Court Hotel, situated on the edge of the Cotswolds in South Gloucestershire, is a magnificent listed Victorian mansion is set in 30 acres of tranquil parkland and enjoys stunning views across the Severn Valley.
The evening commences at 7.30pm with a champagne reception followed by a three-course dinner and entertainment with a disco and casino.
To confirm your places, please complete and return the booking form with full payment to the Events Team NOW!
Cost: £100 + VAT per person
Tables of 10 can be booked - if you require a larger table please contact us on 020 7960 1646 or events@hbmedia.co.uk
Rachael Pymm