A weekly news summary covering all aspects of the housebuilding industry. Available to members only.
HBF News
Planning-gain Supplement (PGS): HBF Submission
HBF made its PGS submission to HMRC and the CLG on Wednesday 28 February, in response to the three consultation documents launched in December 2006 (Paying the PGS (HMRC); Valuing Planning Gain (HMRC; Changes to Planning Obligations (CLG).
Our submission reflects the work of the HBF PGS Working Group, chaired by Roger Lewis, Chairman of Berkeley, which has devoted a great deal of time to the subject, along with discussions at a range of HBF meetings with members and written suggestions from members.
HBF's initial view about the PGS was that although we felt it would not work in its proposed form, we fully supported the Government's efforts to find a way to fund and deliver the infrastructure necessary to facilitate a step-change in housing output and we were keen to work with the Government and other stakeholders to find a workable solution that met both the Government's and the house building industry's objectives.
Since the December 2006 consultation documents were released, our doubts about whether a workable PGS could be devised have hardened.
As a result we have now stated that we wish to dissuade the Government from introducing a PGS. Instead, we have suggested all our efforts should be re-focused on improving the operation of the current S106 planning obligations system. As in our first submission in February 2006, we remain keen to work with the Government and other stakeholders to find a solution. But that solution does not appear to us to be the proposed PGS.
HBF holds discussions with Conservatives' on built environmental planning
HBF Director of External Affairs John Slaughter met members of the Conservative Party team working on built environment and planning issues to explain industry views and issues on both building regulations and planning this week. It was agreed to maintain regular dialogue at this detailed level as the Conservatives' policy thinking is further developed. This stream of work is feeding into the Quality of Life Policy Commission being led by John Gummer and Zac Goldsmith.
Bookings are now being taken for the HBF Yorkshire Social Dinner
This year's event will be held at the De Vere Oulton Hall, Leeds on Friday 11 May 2007
The evening will include a three-course meal, with music and entertainment.
How to book: Tables of 10 or 12 are available: £82.25 per person including VAT. This event is open to members only.
To book please download the booking form via the link below or contact the events team on 020 7960 1646.
Click here to download booking form
Average house price now at £174,706
Nationwide have reported a rise in house prices by a steady 0.7% in February, pushing the annual rate of house price growth back into double digits to 10.2%. The price of a typical house now stands at £174,706. This is more than £16,000 higher than this time last year and the equivalent of a rise of more than £40 per day.
Land Registry House Price Index shows 7.7% rise in house prices
The January data from the Land Registry House Price Index shows that 2007 has begun with another rise in house prices for England and Wales. The first month of the year demonstrates an annual house price increase of 7.7 per cent and a monthly increase of 0.9 per cent. This increase has led to the average property now being worth £174,827.
NAEA reports strong marketplace for UK residential lettings
Lettings members of the National Association of Estate Agents (NAEA) reported a strong marketplace for UK residential lettings over the last quarter of 2006. A number of issues contributed to a thriving buy to let sector, including affordability, a significant increase in immigration, specifically from Eastern Europe, and an ever-strong interest in bricks and mortar as an investment.
Recent Economic developments from the CBI report
# Net mortgage lending fell to £9.6bn in January, from 10.3bn in December.
# However, the number of mortgage approvals increased to 120k in January, up from December's ten-month low of 114k.
Mayor unveils London Climate Change Action Plan
The Mayor of London has set out the first comprehensive plan to cut London's carbon emissions. The Mayor's Climate Change Action Plan - 'Action Today to Protect Tomorrow' - is based on the premise that Londoners don't have to reduce their quality of life to tackle climate change, but will need to change the way they live.
The Mayor launched four programmes which will form the basis of the Plan:
A Green Homes Programme:
The plan sets out how annual domestic carbon dioxide emissions can be reduced by 7.7 million tonnes by 2025 and how by making homes more energy efficient, the average London household could save £300 per year off their fuel bills, as well as cutting emissions. The Mayor announced that he will be offering cut-price loft and cavity wall insulation, available across the whole of London to every home that can benefit from it. The offer will be totally free for people on benefits and we will particularly look to ensure that older Londoners can take advantage
A Green Organisations Programme
A Green Energy Programme:
The plan states that it will not be possible for London to achieve its carbon reduction targets without a fundamental change in how energy is generated and supplied. The Action Plan sets a target to move a quarter of London's energy supply off the National Grid and on to more efficient, local energy systems by 2025.
A Green Transport Programme
UK Green Building Council officially launched
The UK Green Building Council was officially launched this week. The group's mission statement says it aims to 'dramatically improve the sustainability of the built environment by radically transforming the way it is planned, designed, constructed, maintained and operated'.
Since it was founded last autumn, the council has grown to 36 members, drawn from all sectors of the mainstream construction industry. As well as suppliers, designers and clients, membership also includes Barratt, First Base, Laing o'Rourke, Sir Robert McAlpine and Willmott Dixon Construction.
UKGBC has also announced that WWF's Campaign's Director Paul King will be joining it as its first Chief Executive in June.
Urban land wasted says new research from CPRE
Countryside campaigners CPRE are calling on the Government to increase its target for the proportion of new homes built on brownfield land from 60% to 85%, as new research it commissioned revealed potentially large amounts of brownfield land that are capable of use for residential development.
Practical steps in rebalancing communities
The Joseph Rowntree Foundation have outlined practical steps for rebalancing communities by launching a new guide entitled: ‘How councils and housing associations can 'rebalance' communities by selling vacant properties on social rented estates'
This practical guide focuses on the practicalities and benefits of introducing mixed tenure and incomes into existing estates. It aims to provide senior policymakers and practitioners with:
a cost-effective way of addressing a range of estate problems;
a potential means of funding a change in property mix to respond to changing demand;
guidance on running a ‘rebalancing' project as part of a neighbourhood renewal programme.
CITB-Construction Skills announce increase in funding for Inspire Scholarships
At an awards event for its Inspire Scholarship scheme for degree course students wishing to enter the Construction sector, CITB-Construction Skills Chief Executive Peter Lobban announced a 50% increase in funding for the scheme in 2008. The scheme which offers students up to £9,000 towards their degree costs on the basis of matched funding from identified employers will be expanded to 300 places for students beginning their courses in autumn 2008. For more information contact John Slaughter.
Housing Corporation and English Partnerships rethink construction with new report 'Modern Talking'
At a time when demand for housing outstrips supply, the change to build better homes more cheaply and efficiently using modern approaches to construction is essential, according to a new joint Housing Corporation and English Partnerships publication
CBI urges Government against new development tax
The CBI yesterday responded to the Government's latest consultation on proposals for a new tax on development, known as Planning-gain Supplement. The CBI warned that a new tax would harm the attractiveness of the UK as a place to do business and would discourage the release of land for development. John Cridland has stated that the Government's latest Planning Gain Supplement proposals fail to recognise the major consequences of the changes; a reduction in the supply of land for development and uncertainty about the provision of local infrastructure for new projects.
Jo Turner