The private sector was responsible for driving housing growth in the UK over the last quarter, NHBC’s new housing registration figures for Q2 2014 have revealed.
Overall, the number of new homes registered across both the private and public sectors in the UK for Q2 2014 totalled 36,858 – a 3% increase on the same period last year (35,683).
The figures reveal that this steady growth was entirely driven by the private sector – which grew a healthy 9% compared to same period last year (27,527 in Q2 2014; 25,209 in Q2 2013).
In contrast, the public sector reported an 11% drop in registrations (9,331 Q2 2014; 10,474 in Q2 2013).The drop in public sector registrations coincides with first phase of the Government’s Affordable Housing Programme coming to an end in 2015.
As the leading warranty and insurance provider for new homes in the UK, NHBC’s registration statistics help to provide new and accurate data on the country’s new homes market.
The figures show that June experienced a 14% increase in registrations, compared to the same month last year (11,726 versus 10,285 in 2013).
Across the UK for the last quarter, the South East experienced a 48% increase compared to the same period last year (6,434 Q2 2014; 4,355 Q2 2013) with the East Midlands also considerably up 38% for the quarter (3,708 Q2 2014; 2,693 Q2 2013).
Commenting on the latest statistics, NHBC’s Chief Executive Mike Quinton said:
“It is encouraging to see that house building levels have continued to grow in 2014 – following the substantial increase in volumes recorded last year. We hope to see this growth further consolidated throughout the rest of the year.
“However, we have been clear that the UK still has an undersupply of new homes so we must continue to work hard to meet the growing housing needs of the population.”
Commenting on the private sector growth, Mr Quinton added:
“Our figures also show that there has been a noticeable growth in the private sector. As expected, this has coincided with a drop in affordable housing registrations.
“This decrease in public sector registrations can be attributed, in part, to the first phase of the Government’s Affordable Housing Programme coming to an end. We anticipate that the public sector will pick up again as funding is fully allocated for the next phase from 2015 to 2018.”