After a lengthy wait and much speculation, the government finally released the Housing White Paper. It has arrived with a focus on four main areas: 1. Planning for the right homes in the right places; 2. Building homes faster; 3. Diversifying the market; and 4. Helping people now.
In a time when the UK housing stock falls short of the level required, and demand remains high from first-time buyers to own their own home, we have to ask is the right type of housing being built and offered in our region. Housing has become an epidemic problem for Britain, government reforms range from councils producing up-to-date plans for housing demand to using a £3bn fund to help smaller building firms challenge major developers.
What does The Housing White Paper really mean?
The Paper recognises a need to build 225,000 to 275,000 (or more) homes per year to keep up with population growth and to tackle years of under-supply. It calls on communities to accept that more housing is needed if future generations are to have the homes they need at a price they can afford’. The Paper calls for a more cohesive approach and open engagement between local authorities, communities and stakeholders with developers, housing associations and lenders. This all sounds very positive and we will welcome seeing it become a reality, but we have to ask (1) how can it be delivered with such a shortfall in labour, and (2) will quantity effect quality?
Developer costs will increase and this additional cost will inevitably be shared with the eventual buyers paying more for the future new homes they aspire to own. Sajid Javid commented “The only way to halt the decline in affordability and help more people onto the housing ladder is to build more homes. Let’s get Britain building.” Does this inevitably mean we become a nation and region of renters, with more homes being developed by investors for the Private Rented Sector (PRS) and see high net-worth groups investment equity grow along the way.
At urban base we welcome any change that can improve our regions housing. Our Land & New Homes department assist Chapter Homes at Eden Field in Aycliffe offering a range of house types to create a diverse community for buyers looking for 2 bed terraced starter homes to 4 bed detached family homes, for rent and sale. At Durham Gate, Eve Lane there is a variety of 4 and 5 bed detached family homes, offering an executive luxury range of quality housing in a location where starter homes are in abundance. These new homes are creating a new aspirational destination with new amenities being established to support the new residents. And on Newcastle’s vibrant Quayside we have the city living apartments on offer from Telereal Trillium converting Level One empty office space on Queen Street in to ten cool luxury apartments.
The White Paper may therefore encourage planning to support more housing to meet regional demand, and as such this can only be good for the NE Millennial buyer looking to get a foot on the ladder.
