HBF Wales Weekly News Summary Friday 5 October 2007

Top stories this week Zero carbon guidance published... read Conservatives announce housing plans... read Bank rate maintained at 5.75%... read

Friday, 5 October 2007

Richard Price, HBF's Planning and Policy Advisor for Wales and John Slaughter, HBF Director of External Affairs, have both met Welsh Conservative Shadow Housing Minister Mark Isherwood AM in recent days - including at the Conservative Party Conference. Mr Isherwood encouraged the HBF to continue to engage with Assembly Government Ministers and AMs to ensure that the private sector perspective on current housing and environmental objectives in Wales is fully understood.

A major study into how to prevent the kind of flooding that devastated parts of South Wales this summer is to be carried out.
The pilot study, funded by the Welsh Assembly Government, will include evidence from Barry residents who were forced out of their homes by the floods on July 20.

The study was announced by Jane Davidson, minister for environment, sustainability and housing, during an Assembly debate on the summer floods.

More information

The Joseph Rowntree Foundation said the numbers of homeless households in rural areas rose by 300% between 1978 and 2005. In urban areas they rose 160%. There are concerns housing is becoming less affordable in rural Wales.

The charity has launched a commission to take evidence from experts and the public over the next five months.

More information

The housing market could be heading for a virtual standstill for the next couple of years, with falls frequently recorded on a localised basis, say experts.

A new survey says homeowners in Wales are knocking an average of more than 6% off asking prices, greater than any region in England, to secure a sale.

More information

Affordable homes provided under Section 106 agreements could be delivered faster, better and with more certainty, according to new research just published which explains how robust 'cascade' arrangements can help the process.

The research report has been published by national regeneration agency English Partnerships, the Housing Corporation and ATLAS, the Advisory Team for Large Applications.

More information

Venue: St. David's Hotel & Spa, Cardiff
Date: Friday 23 November 2007
Staff Contact: HB Media Events

The HBF Annual Wales Dinner will be held at the St. David's Hotel & Spa.

This black tie evening will commence with a drinks reception at 7.30pm, followed by a superb three-course dinner at 8pm and comedy entertainment.

Tables of 8-10 are available.
Tickets are £90.00 per person excluding VAT
To book please download the booking form or if you have any queries please contact the events team on 020 7960 1646.

View HBF Events and Meetings Calendar

Housing and Planning Minister Yvette Cooper this week called on developers to refocus their efforts to deliver the eco homes of the future as Communities and Local Government published revised guidance on the Code for Sustainable Homes to help industry respond to the challenge of meeting the zero carbon homes target.

The guidance, which responds to comments and feedback from industry, provides greater clarity in a number of areas including the future eligibility of different energy sources and the method for calculating anticipated water consumption.
Yvette Cooper said:

"We need to build more affordable homes but we also need to cut carbon emissions at the same time. That is why we are working with industry to meet the zero carbon challenge including through financial incentives.

"The ambition for all new homes to be zero carbon by 2016 is a challenging one. We need to work in close co-operation with housebuilders and the green technology industry to achieve."

HM Treasury will shortly lay draft regulations before Parliament setting out definition of a zero carbon home for stamp duty land tax purposes. An exemption on stamp duty land tax for new zero carbon homes was announced by the then Chancellor Gordon Brown last December.

View the technical guidance document

The Proposed Changes to the Yorkshire and Humber Regional Spatial Strategy were published on the Government Office website on Friday 28 September. The RSS sets out a long-term development strategy for the region, covering transport, housing, the economy and environmental issues. The Government suggests some significant changes to the Plan, particularly in the assumptions about economic growth and in the number of new homes that need to be built in order to meet Gordon Brown's pledge for three million new homes in England by 2020. From next year, Yorkshire and the Humber will have a target of 22,140 new homes to be built each year. This will mean nearly half a million new homes within the next 20 years - almost twice that originally proposed by the Regional Assembly.

There is now a 12-week consultation on these proposed changes, ending on 21 December.

Copies of the documents issued by the Secretary of State are now available on the Government Office website, please click here

The CPRE has expressed dismay at the plans for a massive increase in housing numbers in Yorkshire. Gill Stride, CPRE's Policy Officer for the region said:

‘This would be an exorbitant price to pay for meeting the Government's housing requirements. They say they want brownfield sites used first and have recently reaffirmed support for the Green Belt. But if the hike in housing numbers is pushed through, these objectives will be fatally undermined, giving way to another wave of urban sprawl, long-distance commuting and congestion - the very last thing Yorkshire and the Humber needs.

‘We must be sure the scale of development is genuinely needed, is built in the most suitable locations, where it can contribute to urban renewal, and that the environment has the capacity to accommodate it.'

At their party conference in Blackpool this week, the Conservatives announced a number of housing proposals including raising the stamp duty threshold from £125,000 to £250,000 for first time buyers and the introduction of new schemes to reward 5 years of good tenant behaviour with an equity share in their social housing. They would also like to introduce a Family Homes Initiative, designed to change the planning rules to allow the building of homes that meet the needs of the nation's families and to move towards locally incentivised planning for housing.

Speaking at the Conference, Shadow Housing Minister Grant Shapps said:

"With one district vying with another to gain consent to begin popular local house-building how many more homes could we build as a nation? Not through national building targets and a big stick, but because local people demand better services and more homes. And local councillors know that it is in their interest to deliver.

This Labour Government has failed to build houses to match its previous lower targets, yet bizarrely it now wants you to believe that they can build even more.
They can't. We will."

View the full speech

The North West Regional Assembly, in its role as the Regional Housing Board, has released a North West Housing Statement.
This summary document provides a profile of the main housing issues facing the North West of England in 2007, it outlines the Regional Housing Board's initial thinking on developing appropriate policy responses and sets out the proposed housing investment framework for 2008/09 to 2010/11.

View the North West Housing Statement

From 19 October, HM Revenue & Customs (HMRC) will start charging penalties for all CIS returns not received by the due date, namely the 19th of every month. This includes returns due from the start of the new scheme between May and September, including nil returns.
After this date, any return not received from contractors by the due date will be liable to a fixed penalty of £100 and a further penalty for every additional month that the return remains outstanding.

To raise awareness of the deadline, HMRC is issuing warning letters to those who have failed to file returns, including penalty warning fliers, mailing out information to all contractors and agents this month, and in some cases, ringing non-filers personally. HMRC has also worked with industry bodies to ensure that they have made their members aware of the penalty regime.

The mortgage market is about to undergo a "fundamental shift", according to HBOS Director, Andy Hornby (Speech to the Merrill Lynch European Banking Conference, 2 October.). He said: "we can already see that mortgage pricing is starting to adjust to reflect increased wholesale funding costs. Increased mortgage costs to consumers will inevitably lead to a slowdown in the mortgage market. I expect a mortgage market showing lower growth rates in 2008".

The financial markets are now expecting a cut in interest rates. Whereas credit conditions have tightened without any change in Bank Rate, the Monetary Policy Committee (MPC) agreed at its September meeting that the upside balance of risk to inflation in its August Inflation Report projections had "probably receded", paving the way for a cut in Bank Rate, possibly in November when the Bank updates its economic projections for the November Inflation Report.

The Bank of England's Monetary Policy Committee yesterday voted to maintain the official Bank Rate paid on commercial bank reserves at 5.75%.

The National Association of Estate Agents (NAEA) has welcomed the Monetary Policy Committee's decision to leave interest rates at 5.75% this month. Following a period of instability for the housing market, the Association warns that the Bank will need to consider future rate movements carefully if confidence in the market is to be restored.

Responding to the MPC decision to hold interest rates at 5.75%, the Council of Mortgage Lenders says that the hold was widely expected but that a cut in November remains the most likely prospect.

Michael Coogan, CML Director General, commented:

"We did not expect the Bank to cut rates today, but we do hope for and anticipate a cut in November. Even this is not a certainty though, so borrowers should continue to plan for rates at or around current levels. Pricing in the mainstream market is stable, and fixed rates have started falling recently, but there is still uncertainty about how long it will take for stable funding to return to the sub-prime market. In the meantime, borrowers in this sector are facing tighter criteria and higher rates, although the availability of funding does seem to be improving."

The difficulties facing first-time homebuyers have grown into a significant social problem which threatens the well-being of local communities nationwide, according to a new national survey carried out by the New Homes Marketing Board (NHMB).

Almost 90 per cent of the population, as sampled by YouGov, think property prices are a major problem for first-time buyers in their areas - and that the problem is worsening everywhere.

The findings are the first clear indication that the public recognises the unique importance of first-time buyers to the local and national economy and how badly they are suffering in the present housing shortage, says New Homes Marketing Board chairman David Pretty CBE.

In the light of the survey, Mr Pretty - formerly chief executive of Barratt Developments Plc - is again calling on Government, local authorities and housebuilders to work together to introduce a package of extra help for first-timers.

View the full press release, survey findings and key facts about first time buyers

If you would like to find out more about the work of the New Homes Marketing Board email jo.Weston@hbf.co.uk  

Hometrack launched Professor Steve Wilcox's latest annual report on the affordability of private housing at a London seminar on 5 October. Entitled "Can't Buy: Can Rent" the report also looks at the role of the private rented sector in the light of the growth in buy-to-let purchases.

Key findings in the report are:

View full report

The latest quarterly house price report from Nationwide shows:

View full report from Nationwide

The latest Consumer Confidence Index from Nationwide shows confidence rising in September in spite of the unrest in the financial markets. However, the index shows early indications that the initial run on Northern Rock dented consumer
confidence in the current economic situation which could feed into overall confidence levels in coming weeks. The Present Situation and Spending Indices also both rose six points, whilst the Expectations Index rose by four points.

Nationwide indicate that the positive sentiment about the current and future employment situation has driven consumer confidence, whilst expectations of house price growth remain moderate with consumers expecting future house prices to increase 3.2% over the coming six months.

View the full Consumer Confidence Index

HBF Director of External Affairs, John Slaughter, attended the Conservative Party Conference in Blackpool, hosting a dinner on Sunday evening and meeting a number of MPs and leading councillors to discuss housing issues. Fringe events on housing revealed a number of strands of thinking. There was general recognition of the need to build more homes, but some difference of emphasis on the role of national policy and local decision-making. The key next step is likely to be integrating the recommendations of the Quality of Life Policy Group (led by John Gummer and Zac Goldsmith) with the localist approach favoured by the front bench Communities and Housing team.

Stewart Baseley's report for September is now available for all members to view on the HBF website please click here 

If you have forgotten your membership login please email Catherine.Wilson@hbf.co.uk

Visit the HBF stand at HB07 on the 9th of 10th of October 2007 for your chance to win a TomTom Satellite Navigation System.

Whilst you are there, why not listen to one of the live interviews taking place or speak to one of the HBF team at our ‘Ask the Expert' sessions.

For full details of what is happening on the HBF stand (G9) please click here

Now in its fourth year, this Exhibition and Conference is a must for those working in the home building Industry. Housing Market Intelligence, the extensive free briefings and conference programme plus the exhibition, bring together key industry figures to highlight all that is new in the home building industry.

More information

The key information initiative for senior figures in the house building industry, HMI comprises an annual report launched at the conference, which this year aims to help delegates and readers 'Develop strategies in the face of rapid change'.

More information and to register

The HBF Technical Conference entitled ‘the road to zero carbon is paved with building regulations' will be taking place at York Racecourse on Wednesday 14th November 2007.

View the full agenda for the day and book online

Sound and noise related issues affecting new build homes continue to be a matter of concern to planning authorities and building control bodies. Now, 6 months after The Code for Sustainable Homes has been published, how is the industry meeting the challenge? Following on from the success of last year, this conference aims to address key regulatory issues, acoustic design and cost factors to maximise Code credits and points.

To book a place on this event, please contact the Events Team on events@hbmedia.co.uk or by phone 020 7960 1646 or download a booking form at the link below:

Download booking form

HBF Yorkshire Dinner - 8th November

The HBF Annual Yorkshire Dinner will be held at a new venue this year - the Crown Hotel, Harrogate

The evening will commence at 7.30, for 8pm, with an opening speech from Rob Pearson, Yorkshire Area Director at English Partnerships and will be followed by a superb three-course dinner. Dress code is lounge suits.

Tables of 10 or 12 are available.
Tickets are £70.00 per person excluding VAT
To book please download the booking form or if you have any queries please contact the events team on 020 7960 1646.

HBF North East Dinner - 13th November 2007

The HBF North East Social Dinner will be held this year at a new venue - the Newcastle Marriott Gosforth Park Hotel, High Gosforth Park, Newcastle-upon-Tyne, NE3 5HN.

Undoubtedly one of northeast England's premier hotels, the Newcastle Marriott Gosforth Park is set in twelve acres of parkland overlooking Newcastle Racecourse. Newcastle city center is five miles South. This full service hotel offers deluxe air-conditioned accommodation, leisure club facilities, a self-contained conference and banquet area and two fully air conditioned restaurants.

The evening will commence at 7.30pm for 8pm with a three-course dinner followed by after dinner entertainment!

Cost £75 + VAT per person. Tables of 10 and 12 can be booked.

To book please download the booking form or if you have any queries please contact the events team on 020 7960 1646.

HBF North West Dinner - 8th February 2008

The HBF North West Social Dinner will be held at the Midland Hotel, Peter St, Manchester M60 2DS.

The Midland Hotel is one of Manchester's most famous landmarks and one of its most glamorous hotels. Situated in the heart of the city, this hotel has successfully hosted the HBF Annual Social Dinner over the last few years - a perfect location for a weekend break!

The evening commences at 7.30pm for 8.00pm with a three-course dinner and wine, followed by a live band and disco.

Cost £70 + VAT. Tables of 10 and 12 can be booked - if you require a larger table please contact the events team.

To book please download the booking form or if you have any queries please contact the events team on 020 7960 1646.

Jo Weston

View Previous Weekly News Summary