Top stories this week *Chancellor considers stamp duty changes....read more *Bank of England maintains Bank Rate at 5.0%.....read more *Halifax House Price Index July 2008.....read more Friday, 08 August 2008Top stories this weekChancellor considers stamp duty changes....read moreBank of England maintains Bank Rate at 5.0%.....read moreHalifax House Price Index July 2008.....read moreQuick LinksWales NewsGovernment NewsEconomic NewsHousing Market NewsIndustry NewsHBF NewsEventsWales NewsRTPI SUDS EventsRTPI Cymru and the RTPI's Development Management Network have organised a free half day briefing to explain the background to SUDS and the considerations needed for taking this forward. The events will be held on Tuesday 16 September 2008 at the Newport Centre, Kingsway, Newport.Programme1.15 - 2.00 Registration & Lunch2.00 Introduction and aim, Roisin Willmott, National Director of RTPI Cymry2.10 - 2.30 Introduction to SUDS Bob Vaughan, SUDS Working Party for Wales 2.30 - 2.50 Surface Water Reduction Strategy Jeremy Jones, SUDS Working Party for Wales 2.50 - 3.00 Questions3.00 - 3.20 Case study - RAF St. Athan Anthony Kirby, Arup 3.20 - 3.35 Questions3.35 - 4.15 Discussion .....What does this mean for planning and what is the role of the development management planner?What are the issues for determining applications? Drawing this together.Read more to topPlaid president urges limit on number of second homesThe number of second "holiday" homes in Wales must be limited in order to avoid pricing Welsh people out of the housing market, it was claimed yesterday.In a debate on the Eisteddfod Maes, Plaid Cymru president Dafydd Iwan claimed soaring levels of second homes in recent decades had been a "misuse of housing stock" and said housing was central to language and the survival of rural and urban communities.Read more to topGovernment NewsChancellor considers Stamp Duty changesThe media this week has reported that Chancellor Alistair Darling has been looking "at a range of options" to restore confidence in the housing market. Asked during an interview on BBC Radio 4's Today programme about reports on Tuesday that a Stamp Duty holiday was being considered, he said:"I am looking at a number of measures and I am not going to be drawn on that today because we have not concluded what exactly we need to do. It is helping people that is important. I want to look at a range of options that will help people."We will be able to announce further measures in the Autumn to help people with housing, and through them the housing industry."Listen again The press took this statement as confirmation that some form of temporary relaxation of Stamp Duty was being looked at.to topStamp Duty holiday? - HBF reactionReacting to the reports that the Government was considering a Stamp Duty holiday, Stewart Baseley, Executive Chairman at the Home Builders Federation (HBF) said in a statement:"This is something the HBF has been championing for a number of months as one of a range of proposals to invigorate the housing market. It is a welcome initiative and shows that Ministers appreciate the problems the current housing market situation is causing people looking to buy and sell properties, and the impact it is having on the wider economy. However, if it is to deliver the desired benefits, it needs to form part of a coordinated package of measures implemented quickly. These need to include action to get liquidity back in to the mortgage market, as well as further steps to assist first time buyers and moves to ensure much needed housing production is maintained." Read more John Stewart and John Slaughter this week appeared on a number of news and current affairs programmes as part of the debate on Stamp Duty. Whilst welcoming the fact that Ministers are now seemingly discussing measures to boost the housing market, the key points raised were; in isolation Stamp Duty will not deliver the required benefits and has to be implemented as part of a wider package of measures, the most critical of which was to get liquidity back in to the lending market; a deferral of Stamp Duty would have little effect and it needed to be a suspension; that, as we have been saying for months, decisions need to be taken immediately; that debating this in public would be detrimental to the market in the short term; and that the pre budget report in the autumn was too long to wait for action. Programmes in to which we inputted included; Newsnight, BBC News Channel, Channel 4 News, The World at One, Radio 5 Live drivetime and numerous local radio stations. Some of the interviews can be viewed/ heard below.Stewart Baseley underlined the need to prevent uncertainty by writing to the Chancellor of the Exchequer on Wednesday.John Stewart, HBF Director of Economic Affairs, spoke on BBC Radio 4's World at One programme this week, asserting HBF's view on the action the Government must take in order to stimulate the housing market.Listen again (piece begins at 15:50) John Slaughter, HBF Director of External Affairs, participated in a debate on Channel 4 lunch time and evening news on Tuesday 5 August 2008 regarding measures to help people cope with the economic downturn.Watch again John Slaughter also appeared on Newsnight on Thursday 7 August, discussing the issues surrounding the possible Stamp Duty holiday.Watch again (piece begins at 19:16) to topNAEA reactionPeter Bolton King, Chief Executive of The National Association of Estate Agents (NAEA) said:"Today's indication that the government is looking to suspend Stamp Duty is very encouraging. As an association we have been urging the government for some time to address the current situation facing the housing market by calling for measures such as a Stamp Duty holiday. Therefore, it is great to see that the government has realised that the current circumstances facing the housing market are not going to simply disappear. Drastic action is needed in order to get the cogs whirring in the market place again. If this suspension does occur then it will provide a much needed boost to consumer confidence."However, whilst this indication that the government may scrap Stamp Duty is positive, clear and immediate decisions in this area need to be made. Decisive action is needed today; one concern is that the anticipation of the suspension of Stamp Duty may halt the transactions in the housing market even further until the decision is finalised either way. Finally, although we welcome this news today we continue to appeal to the Treasury to carry out a complete overhaul of Stamp Duty."Read more Conservatives' concerns on Stamp Duty uncertaintyPhilip Hammond, the Shadow Chief Secretary to the Treasury, accused the Chancellor of playing "damaging short term games" with the property market over the possible suspension of Stamp Duty.In a letter to the Chancellor, he said that the housing market needed "certainty and a steady hand" and criticised the Government for floating a suspension of Stamp Duty without confirming it one way or the other.He stressed that this had undermined the housing market at a historically low point, by "creating a significant incentive for people to delay house purchases". Calling for an early decision, he reiterated the Conservatives' support for an increase of the Stamp Duty threshold to £250,000 for first-time buyers.to topStamp Duty denialOn Thursday the Treasury gave press comment denying there was a "firm plan" to waive Stamp Duty for a temporary period, but reiterating that options to help with current economic problems were being considered.to topEconomic NewsBank of England maintains Bank Rate at 5.0%The Bank of England's Monetary Policy Committee voted to maintain the official Bank Rate paid on commercial bank reserves at 5.0%.Read more to topHBF response to bank rate decisionJohn Slaughter, HBF Director of External Affairs, said in reaction to the Bank's decision to maintain the rate at 5%:"Whilst recognising the Bank's concerns over inflation, this is a disappointing decision. The implications for the wider economy of allowing the housing market downturn to continue are clear. We need immediate and decisive action from Government and the Bank to improve liquidity in the lending market and market confidence."CML response to bank rate decisionCML director general, Michael Coogan said:"Holding the Bank rate is better than raising rates, as one MPC member suggested last month, but a reduction would have been a welcome recognition of the current financial strains on households already struggling with hikes in other living costs."As a result of recent Bank rate reductions, mortgage rates are below their peak at the end of 2007 but many consumers will be looking to the MPC to respond soon to the slowing economy and reducing inflationary pressures." Read more to topHousing Market NewsHalifax House Price Index July 2008The Halifax House Price Index released this week reported that:House prices fell by 1.7% in July. This was smaller than the falls in both the previous two months - May (-2.5%) and June (-1.9%).The UK average price is more than one-third higher (34%) than five years ago. The average price in July 2008, at £177,351, was £44,980 higher than in July 2003 when the average price was £132,371.House prices in July were 8.8% lower on an annual basis. UK average prices have returned to the level they were at in June 2006.The housing market is underpinned by a solid employment market and low interest rates. The research shows that the labour market is the key driver of the housing market. The number of people in employment increased by 61,000 over the three months to May compared with the previous quarter and by 413,000 over the past year to a record 29.59 million.The average mortgage rate paid by all borrowers - i.e. the average rate on outstanding mortgage loans - fell by 21 basis points during the first half of 2008 from 5.97% in December 2007 to 5.76% in June 2008. This fall occurred despite a rise in the average mortgage rate paid by new borrowers in recent months. (Source: Bank of England)Download a copy of the Halifax House Price Index to topIndustry NewsCML Disclosure of Incentives FormThe CML Disclosure of Incentives Form must be completed by home builders for all new home sales involving a mortgage for which there is a new mortgage offer made on or after 1 September 2008. Download a copy of the CML Disclosure of Incentives Form Download a Frequently Asked Questions (FAQ) guide to filling in the formTwo Member Briefings are available from 11 June 2008 (click here) and 6 August 2008 (click here) explaining why the CML introduced the form and how the form will be used. For HBF Members, if you have any problems completing the Form (after reading the FAQ) or any comments on the form, please email your questions or comments to HBF at CMLDisclosureFormEnquiries@hbf.co.uk Last ever Housing Corporation corporate plan publishedThe last ever Housing Corporation corporate plan was published this week.In 2008-09 the Housing Corporation has committed itself to facilitating the smooth and effective transition of its responsibilities to the new agencies, working in close partnership with the teams tasked with setting up the Homes and Communities Agency and the Tenant Services Authority. Housing Corporation Chief Executive Steve Douglas said: "After over 40 years of success in investing in affordable housing and regulating the housing association sector, this is our last corporate plan. We will be focused on achieving the successful transfer of our functions to the Homes and Communities Agency and Tenant Services Authority. At the same time we will ensure that we continue our record of achievement of delivering our core objectives."Read more Download a copy of the corporate plan to topThe Community Infrastructure LevyOn 5 August Communities and Local Government published their second policy paper on the proposed Community Infrastructure Levy (CIL). Aimed as a briefing note to assist the passage of the Planning Bill through the Committee stages of the House of Lords, the document gives more details of how CIL will work - how it will be set, paid and spent.Download a copy of the reportView HBF Member briefing Valuing Planning Obligations in England: Update Study for 2005-06As part of the background evidence base for establishing the community infrastructure levy, CLG re-commissioned the University of Sheffield to update their earlier study (2006) of the number and value of planning obligations (S106 Agreements) secured in England.The three main findings of the study are that:The proportion of major applications with planning agreements attached to them rose significantly between 2003-04 and 2005-06The value of receipts from planning obligations rose by 57% from £1.9bn in 2003-04 to approximately £3bn in 2005-06. Within this total figure the value of affordable housing contributions rose by 66% between the two study periods to almost £2bn.The main reason behind the increase in both the number and value of planning obligations is the increase in the adoption of local policies on developer contributions and increases in land value.Download a copy of the full reportto topCommon Starting Points for Section 106 Affordable Housing NegotiationsCLG recently commissioned the Cambridge Centre for Housing and Planning Research and the University of Sheffield to explore what the best common starting point might be for negotiations for an element of affordable housing as part of developer contributions.The main findings of the research are that:A national common starting point is not viable given the significant variations in housing markets and land prices across the country.Many local planning authorities do not have a common starting point for negotiations in terms of financial appraisal or viability, merely a policy specifying a proportion of affordable housing they will seek and often other requirements such as tenure, unit size and type.Any common starting point should not include grant.Any common starting point will not completely remove the need to negotiate on a site by site basis due to the considerable variations between site economics.Download a copy of the full reportto topHBF NewsHBF take part in meeting with Skills SecretaryJohn Slaughter represented HBF at a meeting between ConstructionSkills and Skills Secretary John Denham this week. The meeting was an opportunity for HBF to press for urgent action to help retain existing apprentices in the current climate and to explore ways of bringing trainees into the industry in future. It was agreed there should be rapid follow up on current difficulties. HBF will keep members up to date on this - contact John Slaughter at rosie.hinchliffe@hbf.co.uk to topEvent NewsHBF Annual Planning Conference 2008Wednesday 10 September - The Kassam Stadium, OxfordThis year's conference will discuss the combined challenges of climate change and the new Planning Act. The day is designed to provide delegates with both vital knowledge from the plenary sessions and practical guidance through our interactive workshops on the Community Infrastructure Levy and the PPS1 supplement on Climate Change.For further information please contact the events team on 020 7960 1646 or events@hbmedia.co.uk Housing Market Intelligence ConferenceWednesday 15 October - Savoy Place, LondonThe annual Housing Market Intelligence Conference is the house building industry's leading event for discussion of the strategic and macro issues facing house builders and is a must for anyone involved in the business of house building.For further details please contact the events team on 020 7960 1646 or events@hbmedia.co.uk to topHousebuilding Innovation Awards 2008Thursday 23 October - Millennium Mayfair Hotel, LondonNow in their fourth year, the Awards have become firmly established as the most coveted accolade in the UK house building industry. These awards recognise innovation among house builders and their suppliers in categories including best sustainability initiative, best innovation in technology and best initiative to first-time buyers/key workers.The glittering black tie event is this year hosted by John Humphrys and takes place on 23 October in London. For further information visit http://www.hbmedia.co.uk/ or take advantage of the early booking discount before 22 August, by contacting the events team on 020 7960 1646 or events@hbmedia.co.uk. HBF Technical ConferenceWednesday 12 November, University of York2008 has seen the government propose major changes to the way that Building Regulations are enforced. With many regulations under consultation, it is important to keep informed of the current and future legislation. The morning section of the conference will provide delegates with up to date information on Parts G & L, the Code for Sustainable Homes as well as examining the future direction of travel for building regulations.The afternoon is to be devoted to the delivery of Zero Carbon Homes with the agenda to be set by the new Zero Carbon Hub. For further details please contact the events team on 020 7960 1646 or events@hbmedia.co.uk For other HBF events visit the website http://www.hbf.co.uk/index.php?id=eventsandmeetingsFor HBM events visit http://www.hbmedia.co.uk/ to topRosie HinchliffeView Previous Weekly News Summary
