A weekly news summary covering all aspects of the housebuilding industry. Available to members only.
HBF responds to CLG consultations on climate change PPS and ten year plan for zero carbon homes
Following extensive consultation with members, and taking into account the outcome of the HBF zero carbon homes summit and the work of the 2016 Task Force, HBF this week sent in formal responses to the Communities and Local Government consultations on the draft PPS on climate change and Building a Greener Future - the Government's proposals for a ten year timetable for achieving a zero carbon standard for new homes.
On the draft PPS, HBF stressed the need to strengthen safeguards against local authorities and regional bodies adopting local policies setting their own building standards. The submission also highlights the need to avoid prescriptive local policies relating to the provision of renewable energy.
On zero carbon homes, the HBF submission points to the need to focus clearly on the appropriate roles of building regulations, product standards for consumer electronics, energy supply and regulation and the role of local authorities and planning in order to ensure a balanced and successful overall policy framework that will also facilitate housing supply. HBF will also be pursuing consideration of these issues through the 2016 Task Force.
The submission will shortly be available on the website under Policy > Zero Carbon
HBF responds to the Barker Report on Planning
HBF officially responded to the Barker Review of Land Use Planning to Communities and Local Government on 5th March. The response welcomes the recommendations that suggest planning should be used as a positive tool for change. However, issues such as how to pay for the planning system, and, in particular, the appeals process, require considerable further discussion with government if we are to avoid unforeseen or perverse outcomes of any future policy change. Responses to the Barker Review will inform the content of the Planning White Paper, due to be published in Spring 2007.
A New Agenda for Home Building - Only one week left to book
HBF are running a full day policy conference ‘A New Agenda for Home Building' on 20 March at One Great George Street, London which will examine the full spectrum of new Government housing and planning policies and their implications for the future of home building. Following the December and January Government announcements, this event aims to cut through the confusion by summarising the key issues for home building businesses.
Final bookings are now being taken
Please contact the events team on events@hbmedia.co.uk or 020 7960 1646.
Callcutt Review calls for evidence
The Callcutt Review of Housebuilding Delivery, announced in December by the Secretary of State for Communities and Local Government Ruth Kelly MP, has today made its first call for evidence from the country's housebuilding industry and other stakeholders.
The Review headed by John Callcutt aims to examine how the supply of new homes is influenced by the nature and structure of the housebuilding industry, its business models and its supply chains. The review will consider the use of land, materials and skills within the housebuilding industry.
John Callcutt said: "In essence this review will make recommendations on how we can improve the delivery of new homes to reach the Government's target of 200,000 new homes per annum by 2016 while also achieving high standards of energy efficiency and sustainability.
"We will look at the factors which influence that delivery including the supply of land, materials and skills and the way the housebuilding industry operates."
Housing Minister Yvette Cooper said: "It is vital that we better understand how the housebuilding industry influences new homes, sustainability and climate change. John Callcutt will bring invaluable experience and commitment to this review. I look forward to reading his report."
Evidence is requested by 20 April. The Review is expected to report in the Autumn.
Better Regulation Commission calls for further departmental consideration of Energy Performance Certificates
The Better Regulation Commission has issued its views on the Government's proposals for introducing Energy Performance Certificates with the HIP on 1st June 2007. The Commission has called on the Government to delay the introduction of Energy Performance Certificates until it has had the opportunity to reconsider its proposals in the light of the issues the Commission has raised.
The Commission accepts that Energy Performance Certificates need to be introduced to meet the requirements of a European Directive, and that their introduction may make some contribution towards reducing the energy consumption in buildings. However, it has concerns about the way the Department for Communities and Local Government (CLG) is proposing to introduce them.
Nick Salmon, of the anti-HIP campaign group Splinta, said: 'The Government has always brushed aside criticisms of Home Information Packs made by professionals in the property industry. Now it is being told by its own advisory body that it has failed to make the case for including Energy Performance Certificates in the packs.
New eco-towns could help tackle climate change
New small zero carbon 'eco-towns' built on brownfield land could lead the way in cutting carbon emissions and building affordable homes, Housing Minister Yvette Cooper said this week.
The Government announced it would consider plans for eco-towns put forward by local authorities as part of the New Growth Points scheme. Forty-five councils have already come forward with plans for new homes and jobs to respond to serious housing pressures in their areas, and some authorities are also looking at plans for 'new settlements'.
Yvette Cooper today announced £2m funding to develop plans for the eco-towns. She also announced the appointment of Professor David Lock, Chair of the Town and Country Planning Association, to report to Government on further developing the criteria for eco-towns.
Speaking this week she said; "We desperately need more homes - and we desperately need to cut carbon emissions to tackle climate change. New eco-towns could build low carbon design into the fabric of the community, not just into individual houses"
Housing Minister highlights CO2 calculator for homes
In response to a written Parliamentary Question from Conservative Environment Spokesman Greg Barker, Housing & Planning Minister Yvette Cooper has highlighted a web-based 'CO2 calculator,' due to be launched in the next few months, which will give people tailored recommendations on how to reduce emissions from their home.
" In the consultation paper "Building a Greener Future", a zero carbon home is defined as having, over a year, zero net carbon emissions from all energy use in the home.
Over the lifetime of the home, the net carbon emissions from it will of course depend on the behaviour of the people living there. That is why the Government are also committed to providing people with information on how to reduce carbon emissions from their home through the Energy Saving Trust. The Government will also be launching a web-based CO2 calculator in the next few months which will also give people tailored recommendations on how to reduce emissions from their home"
UK plans to cut CO2 doomed to fail - scientists
An independent scientific audit of the UK's climate change policies predicts that the Government will fall well below its target of a 30% reduction in carbon dioxide emissions by 2020 - which means that the country will not reach its 2020 milestone until 2050.
The report condemns Government forecasts on greenhouse gas emissions as "very optimistic" and projects that the true reduction will be between 12 and 17%, making little difference to current CO2 emission levels.
The report is based on an analysis of the Government's attempts to meet climate change targets. The authors argue that because much policy is based on voluntary measures, the predicted outcomes cannot be relied upon.
(The Guardian,5th March, p4)
One in five home buyers now over the higher stamp duty threshold
Halifax has examined house prices and home sales in 2,132 postcode districts across England and Wales over the past five years with reference to the stamp duty thresholds and believes the current thresholds at which stamp duty is levied should be adjusted to reflect the significant rate of house price inflation seen over the past decade.
Halifax calculates that over the past five years there has been a 281% rise in the number of home sales in England and Wales above the £250,000 threshold at which a 3% rate of stamp duty is levied. The number of residential property sales attracting at least 3% stamp duty has increased from 73,403 in 2001 to 279,408 in 2006.
Home buyers in these transactions were faced with a stamp duty bill of at least £7,500. In 2006, 19% of home buyers paid at least 3% stamp duty compared with 6% in 2001.
Stamp duty lottery hits new homebuyers
Buyers looking to purchase a new home under the £125,000 price bracket, to avoid paying stamp duty, are faced with relocating hundreds of miles away from family and friends as a result of the huge property price differences across the UK according to Smartnewhomes.com
While those in the North, Yorkshire & Humberside, Wales and the East Midlands are able to choose between a wide selection of new homes, with properties ranging from one and two bedroom apartments to three bedroom semis and even detached houses, those living in East Anglia and the South East would be lucky to secure an out of town, one bedroom apartment. And for those hoping to live in London are unable to find any new properties that fall under the £125k bracket.
New Household Projections
The CLG will publish a new set of 2004-based household projections for England and the regions on Friday 16th March. These follow less than a year after the 2003-based projections which put household growth in England at 209,000 per year for the period 2003-2026, up from 152,000 per year in the previous 1996-based projections covering the 25 years 1996-2021.
IMF Housing Market Caution
In a generally positive assessment of UK economic prospects, the IMF regards the buoyant housing market and house prices as a "not insignificant" risk which warrants vigilance. It says that if the housing market were to weaken substantially, the Bank of England should consider cutting interest rates. Comparing its own views about the economic outlook with those of the Treasury, the IMF says "the only minor difference is that, while IMF staff tend to view house prices as overvalued, Treasury officials see risks in the housing market as balanced, noting that constraints on housing supply have boosted house prices."
Key issues for future of Thames Gateway identified
An independent report launched on the Thames Gateway outlines four key steps that the Government must take if it is to realise its commitment to deliver homes, jobs and infrastructure to the area over the next few decades.
Thames Gateway: Running the Blue Line, published by management consultancy Hornagold & Hills, urges the Government to:
Produce a clear vision statement
Prepare a costed programme
Increase co-ordinated planning across all government departments
Ensure there is appropriate funding, particularly for key transport
infrastructure, in the upcoming Comprehensive Spending Review.
The report comes one year after the publication of Hornagold & Hills' first report, Laying the Blue Line, which was instrumental in persuading the Government to appoint a dedicated chief executive officer to the Thames Gateway and to publish its Interim Plan. This latest report captures the views of more than 400 senior professionals in urban regeneration and aims to determine what progress has been made on the Thames Gateway over the past 12 months.
For full report please contact hannah.mccullagh@portlandpr.co.uk
Milton Keynes to become biggest city in the South East says SEERA
Milton Keynes is on track to become the region's biggest city with over 300,000 (1) residents by 2031, the South East England Regional Assembly (SEERA) told this week's Examination in Public hearings into the South East Plan - a 20 year planning vision for the region.
The Assembly's Plan, developed in conjunction with the region's local authorities, sets a clear strategic framework for the growth of Milton Keynes providing greater certainty for investment in critical local infrastructure. As a Government designated Growth Area, Milton Keynes and surroundings will see 48,850 new homes, 30% of them affordable, and 48,850 jobs in the next 20 years
Crest Nicholson agrees £715 million takeover deal
Crest Nicholson's board has accepted a £715 million takeover offer from HBOS and Sir Tom Hunter's Westcoast Capital.
The deal will see the duo's Castle Bidco consortium pay 620p per share for the 77% of the Surrey-based housebuilder it does not already own. This is significantly higher than the original 585p per share bid, which Crest turned down last November.
"We are delighted that the board of Crest has unanimously recommended the offer," said Castle Bidco director Jim McMahon. "We are excited about the acquisition of Crest Nicholson, a company with a strong underlying business and market position." (Housebuilder magazine, 8 March)
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New CIS guides issued as Construction Confederation warns contractors not to be fooled over April double date
Contractors have been warned not to forget that deduction rates for the Construction Industry Scheme will change on the same day that the new scheme is introduced.
The date of 6 April 2007 will be clearly marked on industry calendars as the day the much-heralded new CIS scheme is launched, but the Construction Confederation is reminding employers that the date is also significant for the rate changes.
The deduction rates for the new scheme will be 20% for sub-contractors registered with HM Revenue & Customs (HMRC) for payment under deduction and 30% for those not registered. The old rate of 18% will no longer be applicable.
Jo Turner