The number of homes completed in the second quarter of this year in England dropped by 2% compared to the same period a year ago, according to statistics released by the Government yesterday.
Completions (34,920) were up 7% from the previous quarter this year but are still 28% below the March quarter peak in 2007.
Starts (36,400) were up 2% in the second quarter from the first of this year, according to the Department for Communities and Local Government statistics.
The number of starts rose 6% from the same quarter last year but are 26% below the March 2007 peak.
“Starts and completions have started to grow again gradually,” the release noted, after the downturn in 2008.
Cambridge, parts of London, particularly Southwark, and areas north of the London green belt in Northamptonshire and Leicestershire were picked out as having high levels of starts in the June quarter.
Paul Smith, chief executive of Haart estate agents, said: “It seems house builders were busy ploughing ahead with new sites despite the referendum noise, because the demand for new homes remained high.”
Andy Hill, chief executive of house builder Hill, said it was not a surprise to see the “powerhouse” city of Cambridge “taking front of stage”.
He said: “As the city grows and transforms into an even more exciting place to live and becomes home to tech and pharmaceutical companies, its popularity continues to grow.”
Charity Shelter pointed out that this quarterly output showed the Government was still way off meeting its 1m new homes by 2020 target.
And Martin Tett, housing spokesman at the Local Government Association, said: “Bold new action is needed to solve our housing crisis and a renaissance in house building by councils must be at the heart of this.”
Comments (3)
The headache is where are you going to put these new homes and how are they going to be affordable. Builders often arrogant new build prices are one of the reasons for prices escalating …. maybe someone could do a worthwhile article on building costs. Taking into account materials and associated costs there is a massive gap to the end purchase price? The National Federation of Builders does have the data but then huge profits for its members maybe embarrassing?
Funny, Woodentop – I was having a conversation with someone only a few days ago over building costs and “affordability”.
I came into the industry in the late 70s. At that time, where I’m located, you could buy a four bed, 1000 sq.ft. home for under £20k.
That was £20 per square foot all in – build costs, land, labour, materials and profit.
Nowadays – you’re lucky if you can find new homes here ‘oop North being built for much under £200 per foot.
And that, compared to our southerly counterparts, is cheap as chips…
Another startling revelation from Shelter and the spokesman for the Local Government Association!