Tuesday, January 17, 2017

Reversing the decline of small housebuilders: Reinvigorating entrepreneurialism and building more homes

The Home Builders Federation has recently produced a report detailing the barriers in which SME house builders face in developing housing. Some of the key facts outlined in the report are:

  • In 1988 SMEs were responsible for 4 in 10 new build homes compared with just 12% today
  • Delay and risk during the planning stage has influenced lender attitudes to house building meaning that terms SMEs borrow on are restricting growth opportunities
  • Between 2007-2009, one third of small companies ceased building homes
  • Returning to the number of home builders operational in 2007 could help boost housing supply by 25,000 homes per year
  • Measure to remove blockages in the planning system, reduce red tape and bring about fairer finance for SMEs would enable more companies to realise their ambitions, reinvigorating the entrepreneurial spirit of previous decades