Housing and Finance Institute to help revitalise SME housebuilders
The Housing & Finance Institute (HFI) has revealed its intention to help restore and revitalise SME housebuilders hit hard by the recession.
Established in June 2015 and backed by the Treasury, HFI were charged with accelerating housing supply, and in November 2015 announced plans to “sit in the middle” of the supply chain, attempting to bring financiers, landowners and public authorities together as a means of meeting the market demand.
Before the economic downturn, SME housebuilders delivered nearly 60% of the UK’s new homes. Since then this proportion has fallen to 20%.
HFI chief executive Natalie Elphicke said: “Business is starting to come back but the market has changed. Every single player that went into the credit crunch has come out with different aims and ambitions for their business.
"There is a smaller supply chain of housebuilders. It is more complex and all of the market players are changing their place in the housing supply chain. We want to sit in the middle of this new supply chain to help people find partners to complement their emerging role.”
Local Partnerships, a joint venture between the Treasury and the Local Government Association, part-funds the HFI and advises public sector bodies on complex deals. Attracting the interest of investors and developers into specific areas is something councils will be coached on as part of HFI’s new approach.
Ms Elphicke said: “Councils must learn how to sell their areas”, if supply is to be accelerated. “Only a quarter of housebuilders see growth coming from outside their current area of operations. Looking at just smaller builders, over half see their growth in the areas where they are already building.”
Already, the Stoke-on-Trent Council has turned to the HFI for advice regarding the 100,000 new homes that Stoke cabinet member for regeneration Jack Brereton has said are needed for the region. Seeking help from HFI, Brereton said, “...would be a good way to look at what we are doing and how the council does things effectively. It was very useful to have an outside view – they did an evaluation of how we are doing and how we can improve for the future.”
Featured articles and news
What will the General Data Protection Regulations (GDPR) mean for you when they come into force in May?
Business Secretary chairs a new taskforce to monitor and advise on mitigating the impacts of Carillion’s liquidation.
Sir John Armitt is appointed the new chair of the National Infrastructure Commission.
High quality and high density homes - is it what we need or is it storing up trouble?
Government announces its intention to strengthen planning rules to protect music venues and neighbours.
National Audit Office reports that there is little evidence that PFI offers better value than other forms of contracting.
What is liquidation and how does it apply to contractors in the construction industry?
Scrutiny is placed on Carillion's controversial 2013 decision to extend subcontractor payment terms to 120 days.
RSHP unveil their involvement in a boundary crossing which will provide a new entry point into Hong Kong.
With PFI currently under the spotlight due to Carillion, this introductory article explains what they are.
Estimates suggest that up to 30,000 small firms could be at risk of non-payment as a result of Carillion's collapse.