London surge drives 11% UK rise in new house building

A 145% surge in the number of new homes being registered in London over the summer has helped drive a general rise across the country, according to figures.

Across the UK, 42,547 new homes were registered between June and August, marking an 11% increase on the same period a year earlier, warranty and insurance provider the National House Building Council (NHBC) said.

There were 30,738 new homes registered in the private sector – up 7% on the same period in 2017 – and 11,809 in the affordable sector – a 23% increase.

  • 5,774 June-August 2018

  • 2,354 June-August 2017

Builders are required to register a house with the NHBC before starting work, which means its figures represent homes to be built in the months ahead.

The NHBC said in London, a “considerable” increase in the number of private rental sector developments and large housing association projects contributed to a 145% increase in the capital compared with the same period in 2017.

Some 5,774 new homes were registered in London between June and August, compared with 2,354 during the same three months in 2017.

The NHBC’s registration figures are taken from builders who are responsible for around 80% of homes constructed in the UK.

Its figures also show the number of new-build registrations in Scotland was the same over the summer as a year earlier, while the number in Wales decreased and the number in Northern Ireland and the Isle of Man combined more than doubled.

NHBC chief executive Steve Wood said: “We continue to see strong numbers in many parts of the UK with a substantial uplift in London, driven by increased activity by housing associations and the continued flow of inward investment on for-sale and private rental developments.

“The continuing uncertainties around Brexit and the UK’s economic outlook do not seem sufficient to dent confidence in the new homes market.”

The NHBC’s report was released as separate figures from the Ministry of Housing, Communities and Local Government showed 160,020 new homes were started in England in the year to June 2018, down by 3% compared with the year to June 2017.

The figures also showed that during the same period, there were 161,240 housing completions in England, an increase of 5% compared with last year.

Last week, Prime Minister Theresa May called for an end to the “stigma” of social housing, as she promised £2 billion to build tens of thousands of homes.

Here are the numbers of new-build homes registered between June and August, followed by the figures for the same period in 2017, according to the NHBC:

– North East England, 1,870, 1,724
– North West and Merseyside, 4,373, 4,786
– Yorkshire and Humberside, 2,632, 2,201
– West Midlands, 3,770, 3,407
– East Midlands, 3,029, 3,420
– Eastern England, 3,914, 4,289
– South West England, 4,156, 3,698
– London, 5,774, 2,354
– South East England, 6,457, 6,653
– Scotland, 3,381, 3,381
– Wales, 1,230, 1,529
– Northern Ireland and Isle of Man, 1,961, 854

Advertisement