Council planning approvals for new housing are half what they were before the recession hit, according to the latest Home Builders Federation Housing Pipeline report.
The HBF says there has been a sustained drop over the last three quarters of 2010, coinciding with the Coalition Government’s Localism policy to change the planning system.
“The figures demonstrate the necessity for the Government to clarify exactly how the new Localism based planning system will deliver the homes, and supply the growth we desperately need,” said HBF Executive Chairman Stewart Baseley. “These figures are extremely concerning.”
“Only by ending the ongoing hiatus caused by the scrapping of the old system without a ready replacement can developers and councils plan ahead confidently and effectively for new housing.”
33,000 homes were approved across Great Britain in the last three months of 2010 – 9% down on the previous quarter and 22% down on a year ago.
Social housing saw only 5,500 approvals.
The figures from the HBF come after the publication of the Government’s own figures which showed completions in England in 2010 fell 13% to the lowest level since the 1920s.