The hotly-anticipated Budget is just around the corner, providing the chancellor with an opportunity to answer some of the questions raised by the housebuilding industry and bring to an end the uncertainty that has lingered in recent months.
Here’s what the voices from across the industry are hoping to hear from Rachel Reeves on 26 November.
Simon Vernon-Harcourt, design & planning director at City & Country, said: “The government needs to get the economy moving again – and the quickest way to do that is by unlocking the housing market. Right now, confidence has stalled amid talk of higher taxes, and people are hesitant to move. We need a clear plan and decisive policy action to help buyers take that next step.”
“Replacing stamp duty with a fairer, ongoing property tax would make moving home more affordable and, in turn, stimulate the wider market. If it cost less to move, more people would do it – it’s a simple equation.”
“We’ve seen what’s possible before. In the 1950s and 60s, the UK was building around 200,000 homes a year, driven by ambitious councils and smaller builders, yet we’re still falling short of that today.”
“We also need a planning system that works. Labour’s plans to rethink the green belt and introduce the concept of a ‘grey belt’ are bold but necessary steps to build where people actually want to live. Allowing well-designed schemes to move through planning more efficiently will help smaller, design-led developers like us deliver the kind of sustainable communities the country needs.”
“But building homes also means investing in people. The construction sector can be a real engine of growth if we put the right focus on training and encourage more people into the trades. We can’t build homes without skilled hands.”
“The goal shouldn’t just be to build more houses, but to create places people are proud to call home.”
Jon Di-Stefano, CEO of Greencore Homes, commented: “The Autumn Budget can’t come soon enough for the housing sector. The uncertainty of the past couple of months has not been helpful and now we must wait for whatever the chancellor has in store.”
“My main concerns are over where the seemingly inevitable spending cuts will fall, how they affect people and the wider economy, and whether any further changes are planned for housing. Following several months of positive announcements, I am not expecting significant additional funding for the sector, but it is essential that the government stands by its current commitments. They need to use this is an opportunity to strengthen confidence and provide momentum to the housing market.”
“Spending cuts will have a direct impact on buyer confidence and economic activity, so they must be considered carefully. When it comes to taxation, particularly in housing, the government should also be cautious. Overhauling stamp duty would help to stimulate the market whereas a poorly designed tax on higher value properties could risk slowing it further.”
“Anything that makes it easier to buy and sell homes will be good news for buyers, the housing market and the wider economy, but that clearly has to be balanced with responsibility for the public purse. Above all, what the industry needs from the government in the Autumn Statement is clarity.”
Paul Silver, CEO of Dorchester Living, said: “My hope is that housing remains a genuine priority for the government – not just in words, but in action. Housing and infrastructure are fundamental to the strength and stability of our economy. The outlook is already fragile in the lead-up to the Autumn Statement, so we need clear, consistent incentives that push delivery forward.”
“The biggest challenge continues to be the complexity of the planning system and the time it takes to move projects from approval to construction. A simpler, more responsive planning process would make a huge difference to housebuilding, particularly for us as one of the newly announced government ‘New Towns’. It would help unlock the delivery of much-needed homes and infrastructure at scale, allowing projects like Heyford Park to make a meaningful difference to local communities.”
“Every delay has consequences, from rising homelessness to unaffordable rents and missed opportunities for local people. If we can foster a culture that values delivery as much as design, we can start to make real headway towards meeting the UK’s housing needs.”
Charlie Warner, partner at buying agency, Heaton & Partners, commented: “The logical thing would be for the chancellor to put practicality over politics. If the tax environment becomes too hostile, wealth creators will simply leave. We won’t know the stats of those who have already left the country for months to come but the government has done a lot of harm to the economy already and it would be foolish to ignore that. Their potential “exit tax” is shutting the stable door after many of the most valuable horses have bolted.”
“Rachel Reeves is not going to implement all the property policies she’s mooted; she will probably implement just one or two of them and it will be interesting to see how she manoeuvres now that other parties are talking about the abolishment of stamp duty. It could pull the whole conversation into a higher transactional volume environment, which would be an upside for the property market and would almost certainly result in increased tax revenue in the short-medium term.”
“The market is split ahead of the Budget. We are seeing some sellers hold fire on viewings as they want to see what happens later this month, but this is a gamble.”
Chris Harris, chief operating officer at Dandara, said: “With another Budget around the corner, what the housing sector really needs is clarity and commitment. For years, we’ve seen policies announced and reversed in quick succession, leaving both housebuilders and buyers uncertain about the future. If the government is serious about growth, it needs to treat housing as critical national infrastructure – not just an economic lever, but the foundation for communities.”
“There’s speculation that the chancellor may announce changes to property taxation, including possible reform of stamp duty and council tax, and even new levies on higher-value homes. That raises a question for our industry: if moving home becomes more costly or cumbersome, we risk slowing transactions and limiting development. What we hope to see instead is a Budget that supports mobility and confidence – simplifying the tax burden on housing and investing in the infrastructure that unlocks development.”
“We’d also like to see tangible measures to support first-time buyers and keep supply moving, whether that’s through targeted incentives or investment in local infrastructure to unlock sites. The demand for new homes hasn’t gone away, but the barriers to delivery are mounting – from planning delays to rising costs and a lack of skilled labour. This Budget is an opportunity to steady the ship; restore confidence and set a clear course for the homes this country urgently needs.”
Omar Al-Hasso, CEO of SimplyPhi, commented: “The Autumn Budget is a golden opportunity for the chancellor to continue to progress Labour’s housing ambitions beyond simply building new homes. Earlier this month, the MHCLG released guidance on the Social and Affordable Homes Programme which included a major focus on building new affordable homes – 60% of which will be targeted for social rent. While new build delivery is undoubtedly an important part of the picture, this approach fails to address the diversity of housing required to meet existing needs, especially the critical demand for temporary accommodation.”
“Prioritising new build housing delivery offers a medium to long term fix to a clear and present immediate housing crisis, as it takes years to obtain planning permission and then build out developments and is comparatively more costly than making use of existing housing stock.”
“The chancellor must use the Budget to reform Local Housing Allowance (LHA) rates, indexing them to inflation or preferably re-basing them relative to live market rent as originally structured. This will not only open up more affordable private rented housing stock but would reduce risk for local authorities raising institutional investment from the private sector, to bring forward more immediate housing supply.”
Adrian Watts, CEO of Croudace Homes, said: “Uncertainty in the lead up to the Budget has resulted in a decline in buyer confidence within the residential property market. Buyers are now cautiously navigating a challenging market, where affordability remains one of the biggest obstacles, particularly due to the lack of support, especially for first-time buyers which are the lifeblood of the property market.”
“Earlier this year, changes to stamp duty presented a setback for future homeowners. There has now been speculation about further stamp duty changes, and while the reduction of stamp duty will go a long way in supporting more buyers on the ladder, introducing a new property tax will only create another barrier.”
“First-time buyers are essential for a thriving housing market, so we must invest in schemes that will reduce barriers to getting people onto the property ladder, and drive demand to maintain the confidence and security of prospective buyers in the market. The housing market is in dire need of stability, certainty and a long-term strategy.”
