New home volumes weakened by challenging economic conditions

The National House Building Council (NHBC) issues its New Home Statistics Review for Q2 2023 showing home volumes weakened by challenging economic conditions.

NHBC statistics represent a unique source of detailed up-to-date information on new home construction and the house-building industry.

The figures relate to new homes registered with NHBC for its ten-year warranty, which covers circa 70 to 80 per cent of all new homes built in the UK and are a lead indicator of house-building activity.

Snapshot:

Key headlines:

• • 38,044 new homes registered in Q2 2023, 42% down on Q2 2022.
  • 24,783 new homes registered in the Private sector in Q2 2023, 51% down on Q2 2022.
  • 13,261 new homes registered in the Rental and Affordable sector in Q2 2023, 14% down on Q2 2022.
  • 35,936 new homes completed in Q2 2023, 11% down on Q2 2022.
  • London and Wales experienced growth in registrations in Q2 2023 vs Q2 2022.

NHBC CEO Steve Wood comments:

“With mortgage rates at a 15-year high, volumes of homes built for private sales have weakened, although this is partly offset by bulk sales into affordable housing markets.

“The Government’s renewed focus on housing policy is welcomed; however, a more favourable environment will be reliant on a fall in inflation, easing of mortgage rates and action to address the key supply side constraints of planning and nutrient neutrality.”

Kindly shared by National House Building Council (NHBC)