industry news 13
Housebuilders optimistic, despite challenges
D
espite challenges with the current planning system, a skills shortage and uncertainty following the EU
Referendum, housebuilders are forecasting increased growth and investment in the sector, says Lloyds Bank. The second annual Lloyds Bank report on
the UK housebuilding sector analyses the state of the industry today, and the opportunities and challenges it faces in the future. Although over a third of firms (36 per cent) said that the uncertainty following the EU referendum result is the biggest challenge to their business, the industry is relatively optimistic. The research found that optimism about
the future of the housebuilding industry has picked up slightly from 7.1 last year to 7.2 in 2016, with 10 representing the highest level of expectation. Average five-year investment plans were also seen to follow suit, up 17 per cent year on year. 42 per cent of respondents said that their growth forecasts had improved since the EU vote, compared with 27 per cent who said they had declined. They are now pre- dicting an average growth of 28 per cent over the next five years, up from 25 per cent last year. Challenges that the sector now faces were raised however, including the rising cost of
materials and the current planning system. More than one-fifth of housebuilders, accord- ing to the report, do not believe that the sector has the resources it needs to help the Government achieve its targets for new housing. Firms listed the availability of Government support and suitable land as the main factors impeding them from the target. Almost a third (30 per cent) of firms said
that there are not enough skilled workers in the industry, with bricklayers, electricians, plumbers and joiners being the hardest to recruit. This shows a slight improvement from 35 per cent in the 2015 survey. Recruitment and skills therefore remain a focus, with three of the top priorities for firms over the next five years being recruiting additional staff (52 per cent), investing in training (49 per cent) and apprenticeships (32 per cent). Pete Flockhart, head of housebuilders,
Lloyds Bank, commented on the figures: “Given the challenges that housebuilders face, the sector is painting a relatively optimistic pic- ture, with improved growth and investment forecasts compared with last year’s survey. The wider uncertainty, coupled with the rising cost of materials, presents some challenges, go but the industry is taking steps to tackle these issues head on, and still plans to grow.”
A qualified welcome to Lyons report
B
SRIA has welcomed the Lyons’ Housing Commission report, which sets out pro- posals for the Government to consider as
part of its Housing White Paper, however it stressed that quantity should not be at the expense of quality. The report, ‘What more should Government
do to promote the building of new homes’ calls for “a sustained step change in housebuilding. ” BSRIA said that the Housing White Paper “gives the Government the opportunity to develop a more comprehensive approach that is capable of driving a sustained increase in the quantity, quality and affordability of new homes.” Julia Evans, chief executive, BSRIA, said:
“BSRIA welcomes this timely and important review. However the focus on more volume makes quality more important than ever, and an added emphasis on its status is needed to guarantee that in challenging the housing crisis we are not building the costly slums or soulless estates of tomorrow.” The report’s recommendations include:
Gender pay gap drops to 16.3 per cent in construction
O
NS statistics have shown the gender pay gap in the construction sector has fallen to 16.3 per cent, 1.8 per
cent lower than the national average. The gender pay gap is now thought to be the lowest on record. From next April, the Government said it
will be taking action to tackle the gender pay gap by requiring all employers with more than 250 employees to publish their gender pay and gender bonus gaps. This will help “shine a light on the barriers preventing women from reaching the top.” The Government added that research had
found that tackling the UK gender gap could add £150bn to our annual GDP in 2025. Minister for Women and Equalities, Justine
Greening welcomed the figures, saying: “It is fantastic to see we now have the lowest gender pay gap on record. No woman should be held
respond online at
www.hbdonline.co.uk
back just because of her gender. “We’ve achieved amazing things but there’s
more to do – that’s why we are pushing ahead with plans to require businesses to publish their gender pay and gender bonus gap for the first time ever from April next year.” The Annual Survey of Hours and Earnings,
published by the Office for National Statistics, is said to provide the most accurate data on the median average difference between men and women’s earnings.
• Addressing dysfunction in the land market to bring forward a wider range of sites and get sites with planning permission built out more rapidly. • Advocating a whole-system solution, focusing on supply-side measures and going beyond a nar- row focus on home ownership. • Growing the capacity of the industry to deliver more homes, recognising the roles Housing Asso- ciations, Local Authorities and SMEs can play Emphasising quality as core to sustainable and successful development over the long term. • Recognising the different needs of different areas, in particular those where demand outstrips delivery such as London.
Julia Evans
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60