HBF Weekly News Summary Friday 30 April 2010

30 April, 2010

Friday, 30th April 2010

Top stories this week

House builders delivering outstanding customer satisfaction!.....read more  

Gummer and Raynsford make HBF Annual Lunch a rousing success.....read more

HBF writes to Liberal Democrats on VAT.....read more

Third party leaders’ debate discusses housing and VAT – Brown blames housebuilders!.....read more

Nationwide house price index.....read more

Hometrack: Housing market continues to lose momentum.....read more

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HBF news

House builders delivering outstanding customer satisfaction!

The results of HBF's fifth annual customer satisfaction survey, were released this week and show record levels of customer satisfaction.

Results show that:

 

 Nearly 9 out of 10 buyers (88%) surveyed were very or fairly satisfied with the overall quality of their new home (up from 77% in the previous survey); 

Nearly 9 out of 10 buyers (88%) would recommend their builder to a friend (up from 76% in the previous survey); 

This is despite the results covering a period during which home buyers and house builders were struggling with the worst housing downturn for 80 years.

HBF issued a press release detailing the main findings which is resulting in numerous articles in the regional, local and trade media on the commitment of the industry to deliver a top quality product and service to its customers.

Stewart Baseley, HBF Executive Chairman, commented:

"These results are truly outstanding and a testament to the efforts made by our industry to deliver ever increasing satisfaction levels to new home buyers. Raising customer satisfaction levels in a home building company, where each house or apartment is effectively a bespoke product, built on location, requires commitment from everyone in the process, from senior management through to site sales and construction staff and subcontractors. These results are a credit to our industry in what has been the most difficult period many can remember.”

"All the evidence we now have demonstrates categorically that as an industry we are delivering in the overwhelming majority of cases the type of product our customers want, in a manner with which they are satisfied.”

Read more

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Gummer and Raynsford make HBF Annual Lunch a rousing success.

Former Housing Ministers and veteran parliamentarians Nick Raynsford (Lab) and John Gummer (Con) provided HBF’s packed annual lunch with a fascinating, and entertaining insight into the two main parties housing policies. In what was a sometimes heated debate, the two clashed on proposed changes to the planning system, and whilst in agreement on the need to provide more homes, also on how that objective could be achieved. The two both agreed the Liberal Democrats proposals to introduce VAT on new homes would be counterproductive and ill-conceived.

The lunch was the culmination of a busy day which included HBF’s Council meeting, at which members discussed the political parties' housing and planning policies, the prospects for the general election and HBF’s priorities for a new Government. The impact of regulation, the HCA's proposals for new core standards and current planning issues were also covered. HBF’s AGM followed the Council meeting - both were well attended.

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HBF writes to Liberal Democrats on VAT

HBF Executive Chairman Stewart Baseley has written to Liberal Democrat Shadow Chancellor Vince Cable to set out the reasons why the party’s proposal to equalise the rate of VAT on new homes and renovation would both reduce housing supply and be revenue negative for the public finances because of the wider loss of tax revenues that would result.

http://www.hbf.co.uk/index.php?id=2579" target="_blank">Please click here to read a copy of the letter*

*Member only content, please remember to log in to view

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HBF response to the Renewable Heat Incentive consultation

HBF has submitted a response to the Government's consultation on the introduction of a Renewable Heat Incentive (RHI) to encourage investment in future renewable heat installations and networks. The RHI is due to be introduced in April 2011.

The response welcomes the introduction of such an incentive to complement the Feed-in Tariff for smaller scale renewable electricity installations as an important part of the policy framework relating to the delivery of the Government’s zero carbon homes policy.

HBF’s comments in answer to the consultation questions seek to ensure that the incentive is as accessible to home builders and their delivery partners as possible and helps to make the building of future new low carbon homes both more practical and cost-effective than might otherwise be the case.

The response contains significant comments on the need to give greater focus to the importance of promoting district networks for renewable heat, to allow renewable cooling to qualify for the RHI and to adopt a less technology specific approach that would take into account the need to promote outcomes that achieve the best cost per tonne of carbon saved - including CHP solutions.

http://www.hbf.co.uk/fileadmin/documents/Consultations/HBF_Response_-_Renewable_Heat_Incentive_-_RHI_financial_support_scheme_-_26_04_10.pdf" target="_blank">Download a copy of the HBF’s response*

  *Member only information, please remember to log in to view

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Government and political news

Third party leaders’ debate discusses housing and VAT – Brown blames house builders!

The third live television debate between the leaders of the three main political parties last night included an exchange of views on the shortage of housing.

Gordon Brown started his response to the housing question by apparently suggesting that the house building industry was responsible for the housing crisis saying “the house building industry has really not served us well in this country”. He went on to say that he recognised the pent-up demand for housing, and outlined Labour thinking on helping first-time buyers through the current Stamp Duty exemption and shared equity schemes. He also mentioned the Government’s efforts to get the banks and building societies to lend again and providing more scope for councils to build. He concluded: “I want to create an owner-occupied majority in this country and I want to increase home ownership ….quickly.”

David Cameron had spoken first and began with a clear recognition that the country needed to build more homes. After mentioning the Conservatives’ policy for a permanent increase in the Stamp Duty threshold to £250,000 for first-time buyers, he said: “But above all, we’ve also got to build more houses” before summarising his party’s approach to changing the planning system.

For the Liberal Democrats, Nick Clegg focused on the need for more affordable housing and his party’s plans to assist people to convert 250,000 empty properties for their homes and allowing local authorities more freedom to borrow against their assets to finance building.

In a second round of comments, David Cameron addressed Liberal Democrat policy and said: “One thing we should not do is put VAT on new homes…That would just lift the price of new homes even higher out of people, like Anna’s [the questioner], reach. I think it would be a big, big mistake.”

Gordon Brown also picked up on this issue and said: “What Nick is saying ….is [that] there would be VAT on new homes”.

http://www.bbc.co.uk/iplayer/episode/b00s6lft/The_Prime_Ministerial_Debates_29_04_2010/" target="_blank">Watch again (piece starts at 60 minutes)

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Housing market news

Nationwide house price index

The latest house price index produced by Nationwide, published this week, reported that:

 

 The average house price increased by 1.0% month-on-month in April, from £164,519 in March to £167,802; 

The annual rate of price inflation has moved into double digits for the first time since June 2007; 

House prices are 10.0% below the October 2007 peak.

Commenting on the figures Martin Gahbauer, Nationwide's Chief Economist, said:

“The price of a typical UK property rose by a seasonally adjusted 1.0% month-on-month (m/m) in April, leaving house prices 10.5% higher than a year earlier. Over the lifetime of the last Parliament (May 2005 to April 2010), house prices have risen by 6.7%. This compares to a 13.5% increase in the consumer price index, the official target measure of inflation.

“April’s figures show the first double-digit annual growth in UK house prices since June 2007. The year-on-year rate in this month’s figures, however, received an additional boost from the fact that April 2009 was one of the weaker months last year. Given the very strong performance of house prices from May 2009 onwards, it will take monthly increases in excess of 1% for the annual rate of inflation to be maintained in double digits going forward. The smoother three month on three month rate of inflation edged down further from 1.5% in March to 1.1% in April, which primarily reflects the impact of February’s 1.0% decline in house prices. April’s figures leave UK house prices exactly 10% below the October 2007 peak.”

http://www.nationwide.co.uk/hpi/historical/Apr_2010.pdf" target="_blank">Read more

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Hometrack: Housing market continues to lose momentum

Hometrack’s latest house price survey, published this week, reported that:

 

The supply of homes for sale (3.7%) continues to outstrip demand (1.0%);
   
   

The election is cited as a common factor behind increased buyer uncertainty;
   
   

Buyers are taking longer to commit - the number of viewings per sale has increased for the third consecutive month in a row;
   
   

Fewer bargain properties on the market - which when set against a backdrop of sluggish economic growth and rising unemployment levels - has led to increased caution among buyers willing to commit;
   
   

The proportion of the asking price being achieved remains unchanged at 94% - the first time this measure has not risen for 13 months;
   
   

Evidence suggests that agents are finding it increasingly difficult to maintain price rises while still achieving sales volumes - the average time to sell has reached a plateau at 8.3 weeks;
   
   

Prices are up by 0.2% over the month, down slightly on the 0.3% growth seen in each of the last 2 months. Over the last 12 months prices are up by 1.8%;
   
   

A well above average growth in house prices in London of 0.6% has flattered the headline average price increase of 0.2% over the month;
   
   

Prices are up across 19% of the country - 44% of London posted an increase in April.

Commenting on the monthly national housing survey, Richard Donnell Director of Research said:

“The April survey of 1,500 agents and surveyors across the country shows further evidence of a housing market on the turn. The supply of homes for sale continues to outstrip demand. This is a trend that has been evident for the last quarter, but lies in stark contrast to the final months of 2009 when buyers far outnumbered the supply of properties for sale.

“The election is being cited as a factor behind growing buyer uncertainty and this is reflected in the number of viewings per sale which has been rising for the last three months from 10.4 in January to 11.2 in April. The growth in the number of sales agreed has also slowed significantly - rising just 6.3% this month compared to 13% in March.

“As the supply of homes for sales continues to outpace demand so the impetus for prices rises is set to wane. The bounce back in market confidence over 2009 was accompanied by a rapid firming in house prices. In April 2009 the proportion of the asking price being achieved was 89%, today this figure may have risen to 94% but it has also begun to plateau. This suggests that agents are finding it increasingly difficult to continue to push pricing whilst maintaining sales volumes. A similar trend is evident in the time to sell which has also levelled - at 8.3 weeks - having improved from an average of over 10 weeks this time last year.”

http://www.hometrack.co.uk/documents/HousePriceSurvey/April2010.pdf?dm_i=DB1,4GL1,1O9UXN,DUMR,1" target="_blank">Read more

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Industry news

NHF: Three million people to be stuck in overcrowded housing by 2013

The National Housing Federation has stated this week that the number of people living in overcrowded housing will hit three million within the next three years – as a chronic shortage of affordable homes and the impact of the recession forces increasing numbers of families to live in cramped conditions.

The NHF, which represents England’s housing associations, predicts a 20% rise in the number of families living in overcrowded housing by 2013, from 2.55m in 2008 year to 3.04m in 2013.

The NHF called on the three main parties to commit to tackling the nation’s housing crisis – warning that millions of people were now at risk of being trapped in substandard housing for a generation.

The NHF blamed the dramatic slump in house building for fuelling the crisis. The number of new homes built in England and Wales in 2009/10 – 123,000 – was the lowest number built in 87 years.

A record 4.5 million people in England are stuck on housing waiting lists and rising unemployment and repossessions has further increased demand for affordable housing during the economic downturn.

The NHF also noted the drought in mortgage finance has forced many young families to stay at home with their parents while they save for a deposit, or simply to abandon hope of being able of afford their own place in the current economic climate.

NHF Chief Executive David Orr said:

“Living in overcrowded housing can be hugely damaging to family life. It can lead to poor health, depression and puts family relationships under enormous strain.

“High levels of unemployment and repossessions, combined with a dramatic slump in the number of new homes being built has led to a sharp increase in the number of families living in overcrowded housing.

“The next government must make building more affordable homes for families a key priority and we urge all three main parties to commit now to protecting the housing budget when public spending cuts are implemented after the election.”

http://www.housing.org.uk/default.aspx?tabid=212&mid=828&ctl=Details&ArticleID=2904" target="_blank">Read more

In a separate study released this week, the NHF claims that poor housing costs the NHS £2.5bn a year in treating people suffering from a wide range of illnesses linked directly to living in cold, damp and often dangerous homes.

  The research also reveals the cost to the public purse of police responses to crimes associated with substandard housing as being around £1.8bn a year.

  Overcrowded homes meanwhile severely damage children’s chances of doing well at school – fuelling a cycle of poverty in poorer communities, the study by research group Ecotec found.

  The NHF called on the main political parties to tackle the scandal of poor housing by protecting the housing budget after the election – thereby ensuring that the 840,000 affordable homes currently planned for the period up to 2020 can still be built.

NHF Chief Executive David Orr said:

“The three main political parties have pledged to protect the NHS, education and frontline policing from spending cuts – but have not promised to safeguard the housing budget, which protects the money spent on these key services.

“If the housing budget is cut and fewer affordable homes are built, millions will be condemned to living in poor housing for a generation – and will ultimately cost the taxpayer far more money in the long run.

“'With record housing waiting lists and overcrowding reaching epidemic proportions in many places across the country, the need for more affordable housing has never been greater.

“The three main political parties must demonstrate their commitment to helping the millions of Britons in desperate need of an affordable home by pledging to safeguard investment in housing – and giving it the same priority as health, education and policing.”

http://www.housing.org.uk/default.aspx?tabid=212&mid=828&ctl=Details&ArticleID=2910" target="_blank">Read more

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Building Regulations

CLG have just released the following new approved building regulation documents:

 

Part F – Means of Ventilation 

Part J – Combustion Appliances and Fuel Storage Systems 

Part L – Conservation of Fuel and power

These replace the current documents as from the 1st October 2010. They can be downloaded from the CLG planning portal

http://www.planningportal.gov.uk/approveddocuments" target="_blank">www.planningportal.gov.uk/approveddocuments

Follow the individual links to view the relevant parts.

We are told that the SAPs software is available but the final approved copy needed to get compliance from the 1st October will not be available until August/ September.

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Events

Housebuilder Awards 2010 – JUST ONE WEEK LEFT TO ENTER!!!

There is now just ONE WEEK left to submit entries for this years prestigious Housebuilder awards.

Now in its sixth year - the Housebuilder Awards bring together the best of innovation and excellence in the house building industry.

The Housebuilder Awards are the highlight of the house building calendar, celebrating the very best of the industry and recognising the achievements of those leading the way in innovation.  This year the winners will be announced at a glamorous black tie event on the night of Thursday 28th October at the Millennium London Mayfair Hotel.

http://www.house-builder.co.uk/awards/" target="_blank">Please click here  to visit the website, see all categories and to download

Entry is free - deadline Friday 7th May 2010

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Housing Market Intelligence 2010 – October 12th, Savoy Place, London

This year’s Housing Market Intelligence conference and annual report launch will be held on Tuesday 12th October at Savoy Place in London. Now in its eighth year, Housing Market Intelligence has become the leading strategic conference for the house building industry. This year the event is expected to sum up the new political climate nearly six months after the election, as well as providing analysis and insight into the market, the economy, the sustainability agenda, mortgages and all the key issues for house builders and associated companies. Full details will be published over the summer but note the date in your diary today!

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HBF Golf Day – Tuesday 13th July 2010 – Woburn Golf Course

There are now just a few team places remaining for the HBF Golf day in July. The event will take place on the stunning Duke’s course at Woburn, for many years home to the British Masters and will see teams from across the industry battling to be crowned the unofficial house building golf champions.

http://www.hbf.co.uk/fileadmin/documents/events/GolfBookingForm10.pdf" target="_blank">Click here for more information;

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North West Social Dinner

The HBF North West Social Dinner will this year take place on Friday 10th September at the Midland Hotel in Manchester. Everyone is welcome at an event that attracts members from across the North and Midlands. Always a lively and fun event, regular attendees are booking in their droves for what will be a fun filled industry evening.

http://www.hbf.co.uk/fileadmin/documents/events/NWBookingForm2010.pdf" target="_blank">Click here to read more

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HBF Ball

Also returning for 2010 on Friday 10th December at the Marriott Grosvenor Square, London, is the HBF Ball, traditionally the social highlight of the industry’s year.

http://www.hbf.co.uk/fileadmin/documents/events/HBFBALL10-BF.pdf" target="_blank">For more details please click here

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HBF Planning Conference

This years HBF Planning Conference will take place on Thursday 16th September at the Hilton Hotel in Bristol. More details to follow.

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Robust Details seminars

RD has announced a series of regional seminars. They will take place;

30th June – Huddersfield

  1st July – Coventry

  15th July - Surrey

These seminars will provide delegates with a full update on robust details developments.  As well as the ‘latest news’ affecting Part E and sound insulation, the seminars will anticipate the effects of the new Part L on the design of separating walls and floors.  A full panel of experts will be on hand for all your sound insulation concerns.

To download a booking form or pay online please visit http://www.house-builder.co.uk/rdl" target="_blank">www.house-builder.co.uk/rdl

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Habitat for Humanity’s Hope Challenge 11-13th June 2010 – just two weeks left to register!

Habitat for Humanity, HBF’s nominated charity will again be holding its Hope Challenge event in 2010. This unique and exciting outdoor challenge event will see teams;

 

   

Spending two days and two nights in the great outdoors    

   

Sleeping in a self built shelter    

   

Undertaking mental and physical team challenges  

Last year’s Hope Challenge was a huge success and had the competitors   trekking around the Edale and Hope Valleys, with a base camp in the sheltered   Vale of Edale. In 2010 HforH are planning a larger and more exciting event with   walking routes encompassing the surrounding hills including the Skyline Ridge   over Mam Tor and the lower reaches of Kinder Scout.

However this is no ordinary weekend of walking! Participating teams will also   be tested on their initiative and teamwork… and by building, and sleeping out   in, their very own shelter they will experience some of the challenges faced by   those who live in poverty housing.

Registration for teams wishing to take part in Hope Challenge 2010 will be   closing on 14th May. Everyone interested in participating is urged to register   their team online athttp://www.hopechallenge.org.uk" target="_blank"> http://www.habitatforhumanity.org.uk/hopeinfo.htm" target="_blank">Find out more about Hope Challenge 2010

http://www.habitatforhumanity.org.uk/hoperegister.htm" target="_blank">Register your team for Hope Challenge 2010.

http://www.habitatforhumanity.org.uk/hopephotos.htm" target="_blank">Take a look at the photos and video of Hope Challenge   2009.

http://www.habitatforhumanity.org.uk/hopecontact.htm" target="_blank">Contact HfH with any questions about Hope Challenge.

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For other HBF events visit the website http://www.hbf.co.uk/index.php?id=eventsandmeetings

For' index.php?id="eventsandmeetings

For HBM events visit http://www.hbmedia.co.uk/" target="_blank">http://www.hbmedia.co.uk/ 

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Rosie Hinchliffe