You are here: Home - News -

Boris Johnson attacks big housebuilders for ‘abusing’ market dominance

by:
  • 02/10/2018
  • 0
Boris Johnson has accused the UK’s biggest house builders of “abusing their dominant position” and called on the Conservative government to encourage small private builders.

 

He also urged a “crack down on landbankers” and for councils to be given incentives including retaining income from stamp duty and a tax on enveloped dwellings to boost housebuilding.

Johnson’s speech at the Conservative conference came after the Ministry of Housing, Communities and Local Government announced a series of measures intended to support house building and home buyers, including a New Homes Ombudsman and introducing permitted development rights.

 

‘Abusing dominant position’

Johnson said the party should be giving more young people the chance to become owner-occupiers, and that would require action on house building.

“Let’s encourage more small private builders,” he said.

“Let’s take on the big eight home builders, some of whom are now frankly abusing their dominant position. Let’s crack down on land bankers.”

 

Retain stamp duty

Instead, he argued councils should be given greater incentives and control of taxes raised in their area to allow them to build more homes and permit more developments.

“Let’s give councils a real incentive to go for planning permissions and to go for growth and to give planning permissions on those brownfield sites, with long overdue fiscal devolution,” he said.

“Give good councils the ability to retain stamp duty, council tax, business rates, and annual tax on enveloped dwellings, and they will have a motive to go for growth.

“Of course you would need to prevent councils from hiking the business rate, and you would need an equalisation formula because the yields are so different across the country.

“But we ought to be giving back control,” he added.

 

There are 0 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.

Profiles

Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.

Marketwatch

Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.

Poll

Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
Barclays and Platform cut interest rates – roundup

Barclays and Platform have reduced their fixed mortgage interest rates.

Close