Building new homes generates £60bn of community investment, says new research from the HBF.
The newly released statistics show that homebuilding across England and Wales generates more than £60bn of social and economic value for local communities, and says this highlights “the often-unseen benefits” that come alongside new housing developments.
The new homes built in England and Wales last year funded 42,000 new school places, more than 1,640 football pitches-worth of community space and over £9bn in affordable housing, adding that it also creates and supports hundreds of thousands of local jobs.
In England alone, the 209,000 homes delivered in 2024/25 are estimated to have generated more than £60bn, which includes:
- More than £9 billion for affordable housing
- £1.3bn for infrastructure, including around £600m for new and improved schools
- £188m in spending for open spaces and leisure facilities
- £46bn of economic activity, supporting local economies
- £6bn in spending in local shops
- 734,000 jobs supported, including around 9,000 apprentices, graduates or trainees
In Wales, the 5,159 homes completed in 2025/26 generated a further £1.1bn in economic activity, alongside £230m for affordable housing, £32m for infrastructure, and support for around 18,000 jobs.
The findings come as Prime Minister Andy Burnham launches a new era of devolution, giving local communities greater control over the decisions that shape jobs, housing, transport and public services.
The HBF is calling on government to ensure local Authorities have the resources and capacity needed to effectively manage and monitor Section 106 contributions, which play a vital role in delivering community facilities and infrastructure.
Communities would better understand the benefits linked to new housing through greater transparency around how developer contributions are used, alongside clearer guidance to ensure funding is delivered as intended, it adds.
As the devolution agenda progresses, HBF is also calling on mayors and local leaders to use their new powers to unlock housing delivery, support economic growth and maximise the benefits that new homes bring. “By working with government, industry and local partners, leaders can help ensure housing is delivered alongside the infrastructure, skills and investment needed to create thriving communities,” it sa
Neil Jefferson, HBF’s chief executive, commented: “New homes are about much more than bricks and mortar. Our research shows that home building is generating more than £60bn in investment and economic value across England and Wales, helping to fund the affordable housing, schools, infrastructure, parks, local businesses and jobs that communities rely on.
“Behind every new development is a wider contribution that helps the community grow and thrive. As the government’s devolution agenda gives local leaders greater responsibility for shaping the future of their areas, it is more important than ever that we work together to unlock housing delivery and ensure the benefits of new homes are felt by both new and existing residents.”
