Homes England has published its latest Strategic Plan, detailing how it will “disrupt the housing market” over the next five years.
The Government agency, which supports housebuilding in England, has released the five-year plan, setting out its goals from 2018/19 to 2022/23.
It has pledged support for Help to Buy and Shared Ownership schemes, as well as building “better homes in the right places”.
In Monday’s Budget announcement, the Chancellor abolished Stamp Duty on Shared Ownership homes, backdated to the previous Budget (November 2017). The extension of Help to Buy to 2023 was also confirmed.
Homes England has also vowed to help unlock public and private land, and to provide investment products to support housebuilders, both large and small.
The report notes how just 11% of England’s land is developed, with just a fraction of developable land needed to significantly increase housing supply. This is why the agency will unlock the land to build more homes where they are needed.
Government Agency Explains how it Plans to “disrupt the housing market”
Worryingly, however, it explains that, based on current entrant levels, the construction sector could see a 20-25% decline in workforce by 2026.
Lower supply is likely the cause of affordability pressures in the housing market. The report claims that the average home now costs almost eight times more than typical earnings.
The ratio of average house price to income has hit record levels, pricing millions of households out of the market.
Sir Edward Lister, the Chairman of Homes England, says: “Ultimately, we need to disrupt the housing market. Homes England plans to be bold, creative and think big.
“We hope the whole of the housing sector – big and small, up and down the country – will join us for the next five years and beyond.”
James Brokenshire, the Housing Secretary, also comments on the report: “This Government is committed to delivering 300,000 homes a year by the mid-2020s and help more people get on the housing ladder. Homes England is at the heart of these plans.
“I welcome their comprehensive vision that sets out how, through their powers and expertise, they will maximise Government investment to deliver the homes communities need.”