New home numbers fall

The number of new homes being built in Britain has slumped to its lowest peacetime level, largely because of planning restrictions, the House Builders Federation warned today.

Excluding the war years, government figures revealed that fewer new homes were built in 2001 than in any year since 1924. The fall was almost five per cent compared with 2000, down from 169,000 to 162,000. There was also a reduction of four per cent in private housing and six per cent in social housing.

The HBF noted that this reduction came at a time of exceptionally-high household growth. Currently, 40,000 more new households were being formed annually than there were new homes to accommodate them.

The HBF claims government policies aimed at reducing greenfield development and increasing the use of brownfield land are being used by some councils to delay building projects.

A spokesman said: "Only by allowing supply to match demand can the aim of a decent home for all be achieved."