Housebuilding, levels and quality of development: an overview
Communities Secretary of State Ruth Kelly has recently reaffirmed the government's aims to build 200,000 new homes a year by 2016. She used a speech to the Fabian Society to stress that ministers were keen to ‘go beyond’ the 30,000 social homes per year currently under construction.
Kelly promised the government would ‘set out our ambitious plans for increasing social housing supply, with new investment alongside further efficiencies and innovation in provision, as part of the 2007 Comprehensive Spending Review’. That exercise is due later this year.
She reiterated the government's drive to make houses greener, highlighting the recent Code for Sustainable Homes and the Carbon Challenge designed to encourage zero and low carbon development.
She added: ‘I am ambitious about improving the existing stock, too. This means giving people the information they need to save energy and cut their fuel bills.’
Meanwhile, local authorities have responded by urging greater devolved powers for local government over housing provision and increased financial support from the Treasury, put at over £11bn in the next spending review, to ensure 210,000 new affordable homes are built over the three years from 2008.
But how is such politcal rhetoric relating to the actual delivery of decent homes?
The latest statistical releases from the DCLG present figures on new house building starts and completions in England and its regions up to the quarter ending December 2006 and the first figures for 2006 as a whole. There are also tables that cover new house building in the UK, Scotland, Wales and Northern Ireland. In England, new house building starts in 2006 amounted to about 183,140 (up over 3 per cent on 2005) and completions totalled 160,230 (up around half a per cent up on 2005). The new figures indicate that starts and completions in 2006 were both around 24 per cent higher than in 2001.
Figures for the latest quarter to December show housing starts in England up 11 per cent on the equivalent quarter in 2005. Completions in the December quarter show an 11 per cent fall from the relative high level in the last quarter in 2005.
Adding detail to the figures
RUDI's incoming mail box is full of information on housebuilding projects across the UK – many of these projects are self-labelled 'eco-housing' or environmentally friendly initiatives.
Along with the statistics relating to housebuilding, RUDI will be compiling a portfolio of new housing projects in order to bring a more detailed layer of information to the statistical data – in effect, a series of snapshots of the type of housing development we're getting. With Cabe recently anouncing that, according to its February housing audit, consumers in England are getting a raw deal with 82 per cent of new housing built over the last five years failing to measure up on design quality.
Quality, as well as quantity
The February 2007 housing audit from CABE presents the first complete analysis of the design quality of new private homes nationwide (a total of 293 mid-market housing schemes). The audit examines schemes from the largest volume house builders in the Midlands and South West, and integrates this analysis with data from the six other regions of England.
The results paint an unflattering picture: fewer than one in five developments was assessed as good or very good, and 29 per cent are so poor they should not have even got planning permission. In the Midlands, no less than half of new schemes are poor.
The audit shows family housing with no play areas, windows looking out on blank walls, poorly lit areas, confusing sites with no focal point, and broad expanses of tarmac. Design quality was assessed using Building for Life criteria, agreed with the housing industry and supported by government.
The government has made clear what it expects and new policy puts design quality at the heart of the planning process.
Is the Cabe audit up to date?
Responding to the final regional findings of CABE's analysis of the design of new private housing in England, Executive Chairman of the Home Builders Federation (HBF), Stewart Baseley says: 'The home building industry is committed to increasing design standards, and sees it as a central part of its drive to reach zero-carbon performance standards within a decade. CABE's Housing Audit, begun over four years ago, does not necessarily reflect the progress that has been made in recent years.
'Above all, these findings underline the critical importance of developing a concerted and co-ordinated approach to design between all stakeholders in the process, not least local authorities and the Highways Agency. Too often design has been dictated by compromises within the planning process rather than the singular pursuit of excellence. Planning Policy Statement 3, which the HBF has played an important role in influencing, puts design at the centre of future housing growth plans. We now need to use it as the basis for developing a positive and supportive climate for design among all the key parties.
'CABE's Housing Audit is based on the Building for Life (BfL) criteria, an initiative developed by CABE and the Home Builders Federation to promote design excellence and celebrate best practice in the home building industry. The HBF is also working in partnership with the Prince's Foundation for the Built Environment to improve design quality across the industry. On 1 February 2007, developments built by 11 of the country's largest home builders received personal recognition from the Prince of Wales for incorporating principles of good design.'
Please send RUDI details of new housing projects for inclusion in our overview.
Starts and completions in England, figures from DCLG
During the calendar year 2006, starts amounted to about 183,140 (up over 3 per cent on 2005) and completions totalled 160,230 (up around half a per cent up on 2005). Both starts and completions in 2006 were around 24 per cent higher than the levels in 2001.
Table A: New House Building in England, 2000-06
Year Starts Completions
2000 144,702 135,359
2001 147, 814 129,655
2002 149, 364 137,024
2003 159,499 144,122
2004 179,601 154,065
2005 177,129 159,454
2006 183,143 160,234
In the quarter to December 2006, there were around 47,570 starts and 41,750 completions. Comparing the quarter to December with the equivalent period in 2005:
- Starts were up 11 per cent
- Completions were down 11 per cent, but this compares with an unusually high 46,830 completion in December 2005 quarter.
The underlying quarterly trends show an upturn in starts in the December quarter following falls in the previous two quarters compared with the equivalent quarters in 2005. Completions have fallen back in the December quarter from the relatively high level from the equivalent quarter in 2005.
Regional trends
Trends in starts and completions across the UK regions are available online.
The South East and the South West continued to see strong upward trends in starts. For example, South East starts amounted to 32,950 in 2006, 12 per cent higher than in 2005. There was also a recent upturn in starts in the East Midland.
Completions across other regions largely remained level or show moderate recent falls.
There are several areas of government regulation that relate to the housing debate:
Planning Policy Statement 3: Housing (PPS3)
From November 2006, PPS 3 underpins the delivery of the Government’s strategic housing policy objectives and our goal to ensure that everyone has the opportunity to live in a decent home, which they can afford in a community where they want to live.
This replaces Planning Policy Guidance 3: Housing (PPG3) which was published in March 2000.
Planning Policy Statement 1 : Sustainable Development (PPS1)
PPS1 sets out the Government's overarching planning policies on the delivery of sustainable development through the planning system. This PPS replaces Planning Policy Guidance Note 1, General Policies and Principles, published in February 1997.
The Carbon Challenge
The Carbon Challenge is being run on behalf of Communities and Local Government to accelerate the housebuilding industry’s response to climate change by fast-tracking the creation of a number of zero and near zero carbon communities. The key objective is to raise the environmental performance of new communities while still delivering quality and high standards of design.
The Challenge aims to equip the development industry with the skills and technology needed to meet the 10-year environmental goals being set by Government for new housing development. In particular, it will act as a testing ground for the Government’s Code for Sustainable Homes and the new Planning Policy Statement on climate change.
What is a zero and near zero carbon development ?
Zero carbon means no net carbon emissions from all energy uses in the home – so the amount of energy taken from the national grid is less than or equal to the amount put back through renewable technologies. This equates to Level 6 of the Code for Sustainable Homes and will qualify for Stamp Duty relief.
Near zero carbon means no net carbon emissions in relation to core Building Regulations energy performance specifications relating to heating, hot water, ventilation and lighting. This equates to Level 5 of the Code for Sustainable Homes.
The Code for Sustainable Homes (CSH)
The Code for Sustainable homes was launched on December 13 2006 and is expected to take effect from April this year. There will be star ratings at six levels, with level one requiring thermal efficiency just above Part L 2006; level three being just above EcoHomes Very Good, and level six being ‘zero carbon.’ Each level will have minimum standards for thermal and water efficiency plus minimum requirements for materials, surface water run off and waste. For entry level there are additional categories dealing with pollution, health and wellbeing, management and technology.The technical details are due out early in February. Early indications are that it should be just possible to achieve level three without the use of renewable. It is clear that level one would add to the cost for new build.
Assessment under the Code is voluntary for the first year, unless it is a Housing Corporation or English Partnerships development or similar. The Government is minded to make a Code assessment mandatory for all new homes after this first year and there is speculation that members building ‘affordable housing’ to level three may wish to build all their house types to that level for standardisation purposes. The Code is plot-specific whereas the EcoHomes standard was assessed on a development basis.
The Code will only apply in England where it will eventually supersede EcoHomes.
Ecohomes
Ecohomes is a vesion of Breeam for homes.
Ecohomes balances environmental performance with the need for a high quality of life and a safe and healthy internal environment. Many of the issues are optional, ensuring Ecohomes is flexible enough to be tailored to a particular development or market.
Ecohomes Assessments can be carried out at both the design stage or post construction for:
- New build
- Major refurbishment projects
From April 2007 the Code for Sustainable Homes will replace Ecohomes for the assessment of new housing in England. EcoHomes 2006 will continue to be used for refurbished housing in England and for all housing in Scotland and Wales.
Other external resources
Building for Life is committed to the quality of new housing development. It is an initiative which promotes design excellence and celebrates best practice in the house building industry. The Building for Life standard is the national benchmark for well-designed housing and neighbourhoods in England. It is awarded to new housing projects that demonstrate a commitment to high design standards and good place making. By rewarding builders of the best new developments we celebrate design excellence and best practice.
The National House-Building Council (NHBC)
This is the leading standard-setting body and home warranty provider for new home construction in the UK has today said industry must engage in the consultation phase on the Department for Communities and Local Government (DCLG) zero carbon development document.
NHBC Chief Executive, Imtiaz Farookhi, said: 'The plan for the Code for Sustainable Homes (CSH) is one which has been long-awaited by the industry and we will need to engage in the consultation phase, alongside other industry stakeholders, to ensure the reality meets the aims of the policies for the benefit of consumers. Whilst we work towards these objectives we must ensure consumer protection and quality are maintained.
'It is right that the Government should marry the aims of sustainability to the planning agenda in the Planning Policy Statement but we must be careful to ensure that the system meets the needs of both delivery and sustainability.
National Centre for Excellence in Housing
A joint venture between NHBC and the Building Research Establishment (BRE) - presents an ideal platform to bring together Government and industry. The Centre will facilitate the formulation of practical and workable solutions to the issue of carbon neutral homes and planning whilst ensuring the interests of consumers remain paramount.'
To provide a broad spectrum of advice in these areas of housing activity, the National Centre will build on original information for the web, which was developed by the NHBC Foundation.
This is the principal trade organisation for private sector housebuilders and voice of the home building industry in England and Wales. It is an exciting industry filled with many talented people and organisations, providing sustainable and attractive homes to meet the demands of consumers.
Its member firms account for approximately 80 per cent of all new homes built in England and Wales in any one year, and include companies of all sizes, ranging from multi-national household names through regionally based businesses and small local companies.
The Government announced proposals in January 2007 for a new agency to deliver regeneration and housing in a major shake-up of the way it supports the delivery of new homes and develops mixed, sustainable communities in England.
The proposed agency - Communities England- will bring together the functions of English Partnerships, the Housing Corporation, and a range of work carried out by the Department, including delivery in the areas of decent homes, housing market renewal, housing PFI, housing growth and urban regeneration.
A grouping of house builders, building professionals and non-profit organisations, launched in February 2007.
The UK Green Building Council (GBC)
Launched February 2007 and including Arup, Barratt Homes, British Land, HBOS, Lend Lease and Sir Robert McAlpine. Mission: To dramatically improve the sustainability of the built environment by radically transforming the way it is planned, designed, constructed, maintained and operated.

