Top stories this week *RICs survey shows sentiment drops to historical low....read more *Staggering house price rises see first-time buyers facing hardest ever struggle to buy.....read more *OFT issues statement of objections against 112 construction companies....read more Top stories this weekRICs survey shows sentiment drops to historical low....read moreStaggering house price rises see first-time buyers facing hardest ever struggle to buy.....read moreOFT issues statement of objections against 112 construction companies....read moreQuick LinksWales NewsHousing Market NewsIndustry NewsHBF NewsGovernment NewsEventsWales NewsWales' eco targets impact on affordable homesMeasures meant to combat climate change could be hitting the nation's home building industry and the supply of affordable homes because they are being introduced in Wales five years before England, according to senior industry figures. Under the One Wales coalition agreement, it is hoped that all new homes built this side of the border by 2011 will be "carbon neutral", due to a combination of sustainable building materials, beefed-up insulation and energy efficient innovations such as solar panels. In England, however, the target date for carbon neutrality is 2016. Richard Price of the Home Builders Federation (HBF) said: "In England we are working closely with the UK Government towards achieving its target of zero carbon housing by 2016. We want to work positively with the Assembly Government as well, and will shortly be having a meeting with them. So far we have been given no details about how the Assembly Government intends to achieve its zero carbon target by 2011."Read moreLabour-Plaid government's eggs in one basket over housing shortage - GermanWelsh Liberal Democrat leader Michael German tackled the First Minister on the Plaid- Labour Government's lack of plans for dealing with the Welsh housing shortage.Read moreWelsh Minister drafted to bring harmony to the devolved powersThere is "no special magic" to resolve disputes between Westminster and the devolved administrations, Welsh Secretary Paul Murphy said yesterday.Mr Murphy, in Scotland for talks with Scottish First Minister Alex Salmond, said differences between the administrations could be seen as "healthy".Read moreto top Housing Market NewsSentiment drops to historical low The balance of Chartered Surveyors reporting house prices falls increased to an historical low in March. However, a lack of new supply is still preventing significant price falls despite rising stock levels, says RICS' UK housing market survey published this week: -The RICS house price balance dropped for the eighth month in succession. 78.5 percent more Chartered Surveyors reported a fall than a rise in house prices, an increase from 65.7 percent in February. This figure has exceeded the historical low of June 1990, when 64.5 percent more Chartered Surveyors reported a fall in house prices and is now the lowest figure since the survey began in 1978. In the East Midlands 89 percent more Chartered Surveyors reported a fall than a rise in house prices and a net 86 percent reported falls in East Anglia. Scotland still remains the only UK region with the net balance of surveyors reporting price rises. Demand continued to weaken as new buyers' enquiries fell further. 49 percent more Chartered Surveyors reported a fall than a rise in new buyer enquiries, up from 39 percent in January.The ratio of completed sales compared to the stock of unsold property on the market fell to 24.8 percent, down from 26.3 percent, and is the lowest number since September 1996. View the full RICS surveyto topNAEA says economic factors underpinning housing market are still strong Following the release of the RICS housing market survey, Peter Bolton King, Chief Executive of the National Association of Estate Agents (NAEA) called for steadiness amongst property market professionals and said that there are still strong economic factors underpinning the market that have not changed and that there is some good news. "The positive news is that the RICS survey showed that just under a quarter of its respondents appear to have reported a rise in house prices, which shows how regionalised the picture is. We are already aware from our own members that house prices are being affected differently throughout the country so to find such regional discrepancies comes as no surprise. No one is denying that the housing market is in a tricky situation but it is important to keep it in perspective and we do need to exercise discretion in the figures, for instance the report states that the East Midlands is showing falling prices, yet the recently released Halifax house price index showed a 2.2% rise in the same region. This also needs to be set against the fact that these areas have seen huge price rises over the last ten years"View the full press statement to topStaggering house price rises see first-time buyers facing hardest ever struggle to buyHouse prices for first-time buyers throughout the UK have risen a staggering 200 per cent in a decade, according to Shelter's annual Roof Affordability Index making it harder than ever for first-time buyers to buy a home.The index shows the average first time property price has increased from £52,674 to £159,494, with house price to income ratios doubling from 1.72 to 3.4.The Index also shows that while the average weekly income of working households has risen 53 per cent over the last 10 years from £590 to £900, the average monthly mortgage payment has increased dramatically over the same period from £304.80 to £827.87 - a rise of 172 per cent. It means as a national average it is now 78 per cent harder for first time buyers to secure a home than 10 years ago.View press releaseto topRICS comment on the Shelter 'Roof Affordability Index'Commenting on the Shelter affordability index, David Stubbs, RICS senior economist said:"These figures show the enormous struggle that recent home buyers have in meeting their mortgage payments while still making ends meet. Of course, before they get on the ladder would-be buyers face the mammoth task of saving around £28,000 for their deposit. For many prospective first time buyers, this is the hurdle that they find most difficult to overcome. Going forward, mortgage rates would hopefully drift lower as confidence returns amongst mortgage lenders and the Bank of England reduces interest rates further. But saving for a deposit is likely to remain the main barrier to entry to the market as lenders shy away from those buyers who only have a small amount of money to put down."to topIndustry NewsOFT issues statement of objections against 112 construction companiesFollowing one of the largest ever Competition Act investigations, the OFT has issued a Statement of Objections (SO) against 112 firms in the construction sector in England.The OFT formally alleges that the construction companies named in the SO have engaged in bid rigging activities, and in particular cover pricing. The construction companies under investigation carry out general building work including construction of housing, as well as commercial and industrial construction both in the public and private sector. The SO allegations cover a diverse range of projects, including tenders for schools, universities and hospitals.No assumption should be made at this stage that there has been an infringement of competition law by any of the companies named in the SO. The 112 parties concerned now have the opportunity to make written and oral representations which the OFT will take into account before making a final decision as to whether competition law has been infringed, and as to the appropriate amount of any penalties the OFT may decide to impose on each of the firms concerned.View the full storyto topFirms missing out on £2 million in apprenticeship support - ConstructionSkillsNew research from ConstructionSkills has found that construction firms in England are missing out on up to £2 million in financial support by not taking on enough apprentices. ConstructionSkills offers up to £3,000 towards the cost of training for each programme-led apprentice (PLA) taken on, but around 650 apprentices on the PLA scheme are still looking for employers, said the organisation.Max Hamps, apprenticeship director at ConstructionSkills, said: "Apprentices are not only essential to the future of the construction industry but to the future of the UK economy. They can also be an invaluable asset to any company. "By offering a flexible resource that can help your business grow, an apprentice could be the best investment your business ever makes. ConstructionSkills helps take the hassle out of recruiting an apprentice, offering ongoing advisory and significant financial support to your business.to topHBF NewsHBF - Homebuilders demonstrate commitment to transparency for homebuyers and lendersHBF has announced an amendment to its voluntary Code of Conduct to provide guidance to its members to ensure transparency of new property pricing, taking account of any incentives or discounts being offered. Stewart Baseley, Executive Chairman of HBF says:"This amended code will provide assurance to homebuyers and lenders alike that discounts and incentives are totally transparent. It has been drawn up following extensive consultation with HBF members and the lending industry over the past few months.It is vital that the industry does all it can to help potential home buyers secure support from lenders to assist as many customers as possible to realise their wish to purchase a newly-built home."NHMB ‘Why Buy New' leaflet now available The New Homes Marketing Board has produced a ‘Why Buy New' leaflet outlining the top benefits of buying a new home.The leaflet is designed to support members and can be accessed electronically in two formats:-NHMB brandedNHMB co-branded (Space to insert and your own company logo alongside the NHMB) The leaflet can be reproduced and used in the following ways:Display in show homes or sales suitesOn your website Within customer literature packs To support PR/promotional workInternal use within your companyDownload the leafletto topGovernment NewsPM calls for action on global economyGordon Brown met with representatives from banking institutions this week to discuss ways of dealing with the global credit crunch and tackling rises in commodity prices.He has also been working with the Governor of the Bank of England on further proposals to support the financial system and help the functioning of the money markets. In an interview with the BBC Gordon Brown said:"We've got to show people who are worried about their homes and people who are worried about their mortgages and people who are worried about their jobs that we can ensure that the economy is safe for them over the next few months."The Chancellor is expected to meet with the Council of Mortgage Lenders and the main mortgage lenders next week. The Treasury has been working with the bank of England to prepare a multi-billion pound emergency loan package for mortgage lenders, taking over mortgage loans that are on lenders' balance sheets in order to increase liquidity in the market. The Bank would grant Government-backed bonds in exchange for assets secured against British-based mortgages. Homes and Communities Agency will have local focus Chief executive-designate of the future Homes and Communities Agency, Sir Bob Kerslake, has set out his plans to ensure the agency has a strong local focus, working with local authorities to deliver on the government's 2020 housebuilding targets.Speaking at the Housing Forum's annual conference this week, Sir Bob outlined his ambitions for the quango, which will be up and running by April 2009. "This national agency will have to work locally if it is to be successful."I want it to provide a bridge between national targets and local ambitions, with a strong regional presence. It needs to support those engaged with place shaping at a local level."He added: "If we get it right at the local level, this will translate to the delivery of national targets."Sir Bob also said the quango would be "market facing." He commented: "We want to understand how the market works and how we can work with it to achieve delivery."to topRegulation of broadband networks in new homesOfcom has launched a consultation on its plans to regulate the installation of next generation broadband networks in new housing and office developments. The regulations aim to encourage investment in fibre-based telecoms networks and ensure fair competition between potential providers of these networks. A number of new build developments are already being fitted with fibre-based networks, including Ebbsfleet in Kent, where the new owners will move in this summer.The consultation closes on 25 June 2008 - click here to viewto topEventsHBF Ball - 10% DISCOUNT ONTABLES OF 10 & 12 BOOKED BEFORE JULY 18Download a booking form or alternatively contact the events team on 020 7960 1646 or email events@hbmedia.comTables of 10-12 are available. If you require a different size table please contact the events team.Housebuilding Innovation Awards - DEADLINE EXTENDED TO APRIL 25 The Housebuilding Innovation Awards provide an excellent opportunity to showcase and reward companies which provide innovative ideas and solutions to the UK new homes marketing. Now is the time to demonstrate what your company is doing to create new and better homes by entering this year's awards.The deadline for entries has been extended to Friday 25 April. Download the awards entry form or visit www.hbmedia.co.ukFor further information contact the events team 020 7960 1630 or awards@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 topJo WestonView Previous Weekly News Summary
