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Affordable housing sector can kickstart growth

25th July 2012

Two recent announcements that have implications for the pace at which new housing will be built have provided encouragement for developers and housebuilders in the UK. First was the re-launch of the Government’s Get Britain Building Fund, which has changed the criteria for developments that qualify for the latest round of funding.

The minimum number of units has been reduced from 25 to 15 and the Homes & Communities Agency has announced plans to release at least £100m for the second round of the £570m fund, which is aimed overall at delivering 15,000 new homes from previously stalled schemes.

The second was an announcement from the HCA themselves that the delivery of homes under the government’s flagship affordable homes programme is to be brought forward.

According to Regeneration and Renewal magazine, the HCA’s Corporate Plan 2012-15 states that 8,520 homes will be delivered in 2012-13 under the Affordable Homes Programme (AHP), followed by 26,840 in 2013-14 and 25,770 in 2014-15, the final year of the AHP as it stands. Some 2,694 homes were delivered under the AHP in the 2011-12 financial year, so the new plan marks a significant increase in new homes to be built.

Not only will this help to deliver much needed new affordable housing, but it should also provide foundations for economic growth and a boost to the UK construction sector at a time when private sector development activity is still very low.

As a business, Bromak has certainly seen recruitment levels in the housing sector remain steady in recent years, both in terms of trades and labour and housing professionals.

An increase in new housebuilding will certainly provide a boon for local and regional economies as more employment becomes available. We are certainly looking forward to helping our clients recruit the right people to deliver this.

David Brooks
Managing Director

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