The Ministry of Housing, Communities and Local Government has today published Housing Supply Statistics for 2018/19 showing that more than 240,000 new homes were added to the housing stock in England in 2018/19, a 9% year-on-year increase and 93% up in the six years since the low of 2012/13.
MHCLG’s statistics show that over the past five years, more than one million new homes have been added to the housing stock.
Historical context
Today’s figures confirm that net supply in 2018/19 was at the highest annual level for more than 30 years and now running well above the average net delivery recorded during the 1950s and 1960s (215,000 and 224,000 respectively).
Components of supply
Overall supply reached 249,076 in 2018/19. Allowing for demolitions, net supply stood at 241,133, made up of the following components:
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Total supply
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249,076
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Of which:
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New build completions
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213,658
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Net change of use
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29,259
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Conversions
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5,215
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Less
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Demolitions
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7,943
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=
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NET SUPPLY
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241,133
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While net supply is the headline figure that Government uses for its housing supply targets as it represents the best measure of the impact that supply can have on housing affordability. However, in relation to discussions around industry capacity and the benefits that housing delivery brings to communities and the economy, the top line, gross housing supply figure should be considered as it reflects the total output from the industry.
The number of demolitions recorded has reached a new historic low in each of the past five years. In 2018/19, just 1 in 3,000 homes in the dwelling stock in England was demolished. This compares with 1 in 1,400 in 2009 and 1 in 1,600 in 2012. This is an important consideration in the context of drives to improve the energy efficiency of the country’s housing stock.
Regional reflections
Net housing supply in 2018/19 was up year-on-year in every English region other than the South West (down 1.5%).
The net supply figures for the North West (29,945), the West Midlands (24,940) and East of England (29,834) represented the highest annual number for those regions during this century.
The largest year-on-year increases for 2018/19 were recorded in the East of England (+17%), North West (+15%), London (+13%) and the West Midlands (+12%).
The increase in London came after a fall in 2017/18. The 35,959 net additions in 2018/19 was up 13.4% on the previous year and is thought to be the second highest annual figure for the capital since the 1930s with the record still held by the 39,526 net additions in 2016/17.
Local performance
At a local authority level the largest single year percentage increases in net supply were recorded in Southwark, Norwich, Stevenage, Elmbridge, Lewisham, South Holland, Brent, Islington, Gateshead and Harlow.
Elsewhere, strong growth was recorded in several cities, including:
- Birmingham where annual net supply surpassed 4,000 for the first time, an increase of 32.5% on the previous year
- Leeds where net supply was up more than 50% year-on-year to 3,427, the highest number on record for the city
- Salford where net supply more than doubled to 3,208
Net housing supply was down year-on-year in the City of Manchester, Liverpool and Sheffield.
Across the counties, record net supply figures were reported for:
- Hertfordshire where net supply rose to a record 4,568, up 33% on 2017/18
- Essex where net supply rose to a record 7,298, up by 19% on 2017/18
- Hampshire where net supply rose to a record 7,011, up 16% on 2017/18
- Buckinghamshire where net supply rose to a record 3,253, up by 28% on 2017/18
- Oxfordshire where net supply rose to a record 5,164, up by 12% on 2017/18
- Warwickshire where net supply rose to a record 4,293, up by 21% on 2017/18
Year-on-year decreases were recorded in Kent (down 15%), Surrey (down 4%), Somerset (down 18%) and Devon (down 2%).
David O’Leary, Policy Director
