Number of new homes rises in 2015 despite recent dip

Data recording the registration of new homes this year up to and including September shows a nine percent increase on the same period in 2014.

The UK jump of 117,525 homes comes despite a Q3 drop of two per cent when compared to Q3 last year. The National Housebuilding Council (NHBC), which released the figures, says that in total, 36,219 homes were registered in Q3 2015.

While the private sector remains static, the public sector is also down in Q3 – by four percent. The fall is attributed to housing associations holding back on developments amid welfare cuts.

Q3 figures for the total of new homes registered in the South East have dropped too. The sum of 5,031 in 2014 fell to 4,050. Greater London reported a 25 per cent rise (5,812 to 7,289). Year-to-date figures for the South East, however, showed a slight increase, with 2014’s 16,034 rising to 16,113.

Referring to the UK picture, NHBC chief executive Mike Quinton said: “Despite the marginal drop in housing registration this quarter, 2015 is still promising to be a strong year for new housing growth in the UK. Our year-to-date figures show that registrations in both the private and public sector are ahead of last year.

“The industry remains upbeat and is working hard to build the number of homes our country so desperately needs, despite the pressures associated with rapid growth.”

Steve Catt, director for NHBC in England, said: “We have seen a mixed picture across England for the latest quarter with several regions reporting a lower level of registrations than this period last year.

“London enjoyed a very good quarter, but the well-publicised dip in the public sector will have contributed to the slight drop overall for Q3. However, the year-to-date figures remain up on last year which is positive news as we enter the final months of 2015.”

Adam Davis, a Palmers partner who specialises in construction matters, said: “Each week seems to bring a new report on the state of the industry and while there will naturally be variations depending on the type of project, and also the sector for which they are being built, a picture seems to be emerging. On the whole, things look positive and that’s the context in which businesses may begin to consider expansion plans. With that kind of ambition, expert guidance should be sought. For detail on our services, please contact us.”