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Planning applications for new homes at record low
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Fewer than 29,000 housing projects were granted permission by councils in the year ending June 2025.
ONS official data shows permission for building homes fell to a record low during Labour's first year in office.
About 7,000 applications for housing were granted permission between April and June 2025 - the lowest three-month figure since records began in 1979.
Angela Rayners replacement Steve Reed said:
"These figures are unacceptable. I will leave no stone unturned to build 1.5 million homes, so families have the key to home ownership in their hands."
What are the odds of Mr Reed achieving this
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However there are over a million houses with planning permission which have not been built.
Various reasons for this but developers sitting on the land and restricting housing supply to keep prices high is a major factor. |
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By *otMe66Man 33 weeks ago
Terra Firma |
"However there are over a million houses with planning permission which have not been built.
Various reasons for this but developers sitting on the land and restricting housing supply to keep prices high is a major factor."
I have read that house builders are holding back on building due to the increase of social housing they need to build under this governments policies. |
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I work in the sector estimating homes and extensions and I was at a self build trade show last weekend demoing our wares and I have never known it so quiet. Tumble is blowing through at the moment.
All very very worrying. |
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The number of new homes being bought has slowed significantly since labour came into power. With the ever increases in taxes and higher costs of living people have less money in their pockets and have less confidence in their employment prospects and wage increases.
Sadly it looks like Reeves is going to raise taxes again in the next budget that will push the country into another full blown recession. |
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The number of applicatuins is rather misleading: one applivatuin could be for a single small extension or it could be for multi 000s homes. But at the lower end of the scale, activity has collapsed. I walked away from a 3 home barn conversion project this year despite the vendor dropping the price by over 50%. The downside risks simply overwhelmed any upside: skilled tradesmen retiring or walking away from the industry; skilled eastern Europeans going back home after 20-30 years here; high mortgage rates and economic uncertainty discouraging buyers; input cost inflation (services and materials); statutory charge inflation; planning and building control logjams; flat lining sales prices; stamp duty; irrecoverable VAT; HSE regs. And that's all just for starters. |
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By (user no longer on site) 33 weeks ago
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There is uncertainty in the housing market, like all areas of the economy, largely due to Reeve's indecisiveness and 'floating' of tax raising ideas. It's making people with financial decisions to make extremely nervous. Labour lack the finesse and professionalism for government. |
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I have been lucky and have self built six houses. I have never lived, as an adult, in a house I have not self built.
Forty years ago this was quiet normal- at least 10% of all new build. Today it almost does not exist. We, as a country, are almost unique in this.
We need governments (all of them) to promote this way of building.
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