Yahoo Finance Government funded housebuilding to ‘slow sharply’ in next 5 years, due to Brexit and Grenfell
In total, 151,000 homes are due to be built between 2016 and 2026 under two overlapping Government funded programmes. Almost 70,000 have already been completed or are under construction.
But the pace of building will slow sharply over the next five years with just 35,000 due to be started under the new programme.
The construction sector has been hit by many setbacks this year that have held back housebuilding.
These include successive lockdowns, the cost of putting right fire safety defects – including flammable cladding – after the Grenfell disaster, and severe skilled labour shortages following Brexit.
Carl Goulding, director at the tradesperson search website MyBuilder.com said:”The nation’s depleted army of skilled tradespeople are expected to support growth, train the next generation and deliver ambitious plans to build back greener but there just aren’t the numbers to make this ambition a reality.”
The mayor’s spokesman said: “Over the last five years, the mayor has hit every one of his annual delivery targets agreed with the government.
“While the funding from central government for affordable housebuilding in London remains woefully inadequate, the mayor is confident in hitting his target of starting 82,000 new genuinely affordable homes between 2021-26.”
Last year work began on building 17,256 new affordable homes, supported by funding from the mayor.
City Hall claims London requires almost £5 billion a year for a decade in Central government funding to finally crack the capital’s housing crisis.
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Construction activity slows in August as projects are put on ice
