Some 136,610 new homes were added to the country’s housing stock in the financial year 2013-14 and the net supply of housing is now at its highest since 2010. However, net house building in England is 39% below the 2007-08 peak when it stood at 223,530 new homes.
The Department of Communities and Local Government (DCLG) said the vast majority of the new homes delivered over the past 12 months have been newly-built, and it means that since 2010 the government has delivered a net increase of more than 530,000 new additional homes across England.
Housing minister Brandon Lewis (pictured) said: “Today’s figures show how our efforts are delivering real results, with the net supply of new homes up 10% over the past year and over half a million new homes delivered since 2010.”
Andy Frankish, new homes director at Mortgage Advice Bureau, said we still have some way to go before we reach pre-recession levels of house building.
“The introduction of the government’s Help to Buy equity loan scheme has been instrumental in increasing construction levels of new build properties. DCLG data showed new build completions were by far the biggest component (95%) of housing supply in 2013-14. The scheme has increased demand for new homes as well as providing funding for builders, who can now invest in this type of construction with confidence.
“Current lending conditions are putting potential buyers at a great advantage: mortgage lenders have regained a strong appetite for business and fierce competition within the market has resulted in a record number of mortgage products.”
Andrew Bridges, managing director of London estate agents Stirling Ackroyd, said that although people are beginning to believe they could be better off at this point next year, the financial marathon is far from over, especially in London.
“Nothing else can solve a fundamental shortage of homes in the long run, apart from building more. That’s why it’s so encouraging to see such a pick-up for the new homes industry. Yet even at a whopping 10% growth, it would be 2020 before we build as many homes each year as in 2008. Accelerating this progress will be vital, with even more homes near transport and jobs.”
