More new homes needed, expert argues

Posted: 13 Sep 2010 09:40:49 GMT

Not enough new homes are being built, one expert has claimed.

Director of external affairs at the Federation of Master Builders (FMB) Brian Berry said less than half of the properties needed are being constructed at present.

"The prospects aren't looking good for the next year or so partly because of the cuts in government spending projects," he added.

Mr Berry also noted first-time buyers are finding it "very difficult" to get a foot onto the housing ladder, because lenders now require large deposits.

He observed the previous government had set targets to create a quarter of a million homes to meet housing demand.

The specialist's comments follow the release of figures from Barratt Developments, which revealed total completions by the company, including joint ventures, were down from 13,277 in 2009 to 11,377 in 2010.

Group chief executive Mark Clare remarked the outlook for the housing market is still challenging, but the priority will be to optimise prices and secure high quality land.
 

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