Government must unlock small sites to help custom build revolution, says FMB

With Richard Bacon’s review of Custom and Self Build finding huge potential in the housing sector and recommending a major-scaling up of self-built homes to boost the overall housing supply, the Federation of Master Builders (FMB) has called on the government to follow through on its proposals to diversify the market.

The Bacon Review was commissioned by Prime Minister Boris Johnson to improve the housebuilding industry by giving customers more choice, and to make home building a mainstream, realistic and affordable option for people across the country.

The review revealed that by following the proposals it could lead to homes being better built designed, to the highest environmental standards, and with cheaper household bills.

The government has already committed £150 million for the ‘Help to Build’ scheme, which will allow home builders to borrow money with lower deposits. Local councils are also being funded to create high quality serviced plots that are ready to go, stepping up self and custom build housing projects across the UK.

Recommendations:

  • A greater role for Homes England – A new Custom and Self Build Housing Delivery Unit must be established to support the creation of serviced plots on small and large sites and delivery at scale.
  • Raise awareness and show by ‘doing’, including with a custom and self-build ‘Show Park’ and a more robust approach to legislation.
  • Support community, diversity and levelling up – Do this by reigniting the Community Housing Fund and creating more opportunities for communities to build.
  • Promote greener homes and increased use of Modern Methods of Manufacturing (MCC) – Promote custom and self-build as a leading innovator in these areas which could be used to signpost the future for the government’s MMC and Net Zero Housing ambitions.
  • Align custom and self-build changes with planning reforms – Maximise opportunities for permissioned land for custom and self-build, across all tenures.
  • Iron out tax issues– This will create a level playing field between these type of homes and speculatively built homes.

In response to the Bacon Review, Brian Berry, chief executive of the FMB, said: “I congratulate Richard Bacon on his review of Custom and Self Build, and urge the government to act on his recommendations if we are to diversify the housing market and meet our housing targets. We must reverse the decline in SME house builders, who deliver great homes, of high quality, in the places people want to live.”

He concluded: “Fifty-six percent of FMB house builder members build only as contractors, and the majority build to the designs and specifications of a consumer. The biggest constraint they face is access to viable small sites on which to build. So, I welcome the review’s focus on the supply of land, and hope the government will recognise the support that local authorities need to help more SMEs to build.”

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