Housing Starts as Low as 80,000
NHBC's latest house-building statistics reveal that the number of applications from builders to start new homes fell by almost two thirds year-on-year during the three-months from November to January. These latest figures come as NHBC's predictions for new home starts for the financial year 2008/09 are revised from 85,000 to 80,000 - well under half the number of new homes started in the financial year 2007/08 (184,819).
Imtiaz Farookhi, NHBC Chief Executive, says: "Year to date figures for the financial year 2008/09 show NHBC has received just 73,807 applications from builders in the combined private and public sectors to build new homes and we anticipate a total of just 80,000 new home starts for the financial year.
"In light of these figures, which once again underline the critical state of the industry, we remain of the view that Government intervention, both on commissioning new starts, particularly through the HCA (Homes and Communities Agency) and other public sector agencies and programmes, together with improving liquidity in the mortgage market, is vital."
NHBC statistics for the rolling quarter ending January 2009 reveal the second largest decrease in the number of applications from builders to start new homes in the private sector to date, although this fall was exaggerated by the break in house building activity during December.
NHBC statistics for the three months to the end of January 2009 also revealed:
- There were 14,738 applications to start new homes from the combined private and public sectors in the UK during the three-month period from November to January 2009 - 62% lower than the same three-month period a year ago (38,459).
- Of the 14,738 applications received by NHBC from November to January 2009, 7,768 related to private sector activity (i.e. excluding housing associations) - 75% lower than the same three month period a years ago (30,631).
- Housing association figures for the three months to the end of January totalled 6,970 - 11% lower than the same period a year ago (7,828).
- New build completions totalled 31,104 in the three months to the end of November - 33% lower than the same period a year ago (46,671).
- The average number of daily sales of new homes in the UK from November to January 2009 was 364 - 32% lower on the same period a year ago (538).
NHBC publishes a quarterly booklet of its new house-building statistics to subscribe visit www.nhbc.co.uk/stats
Ends
Note to editors:
- FOR A BREAKDOWN OF NEW HOMES REGISTERED BY REGION / COUNTRY PLEASE E-MAIL mblamey@nhbc.co.uk
- NHBC is the leading warranty and insurance provider for new homes in the UK. It was established in 1936 as a non-profit distributing company. NHBC's primary purpose is to help raise standards in the new house-building industry and provide consumer protection for new house buyers. NHBC's ten-year 'Buildmark' warranty covers more than 80% of new homes built in the UK and currently protects more than 1.7 million homes.
News Date: 25/02/09