While the government’s 12 new towns policy is eye-catching, Labour’s overall housing policy has left the state of the private building sector in a state of uncertainty.
Tony Higson, managing director of Grayson, which provides building products, responded with cynicism to the recent announcement.
Labour’s promise of delivering 1.5 million homes over the parliament already looks out of reach, seeing as building has dropped since it’s come into power, not risen.
He said: “The government’s announcement of 12 new towns is eye-catching, but if you want to know the true state of the housing sector, you don’t ask a politician or an economist, you ask builders and estate agents.
“Right now, skilled tradespeople are sitting idle, which tells us one thing very clearly: we are not building enough homes.”
He added: “The private sector, which delivers more than 80% of homes, has been left in a state of deep uncertainty.
“Mortgages remain out of reach for many first-time buyers, the middle classes are reluctant to move due to higher taxes and talk of new levies, landlords are leaving the market in droves, and planning changes have done little to unlock supply.
“Estate agents across the country will tell you that confidence has been suffocated across every group of buyers and sellers.”
The New Towns policy is unlikely to help Labour get close to the 1.5 million target, as the stated aim is to start building by the end of the parliament.
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Higson added: “If this government is serious about tackling the housing crisis, it must focus on restoring confidence, supporting the private sector alongside public housing, and creating a joined-up, deliverable strategy.
“Anything less risks yet another broken promise and another generation locked out of home ownership.”