UK government plans to build 300,000 homes a year

The UK government plans to build 300,000 homes a year in a bid to ease the housing crisis, according to BBC News. Chancellor Philip Hammond has said the pledge will be made in his budget next week.

Hammond said there was no “single magic bullet” that would improve housing supply and ruled out the government simply pouring money into possible solutions. Instead, developments with planning permission will be speeded up and smaller firms will be given more help.

The shortage of affordable housing in the UK is likely to be a core theme of the Chancellor’s budget, with younger people facing a particularly tough challenge to get on the housing ladder. Hammond  has said the situation for young people is “not acceptable” and that the government would “keep its pledge to the next generation.”

While the Chancellor agreed that 300,000 new homes should be built annually, there was no commitment to meet the Communities Secretary Sajid Javid’s call for £50bn to fund a house-building programme. Last year, 217,350 “additional dwellings” were built in England.

As well as speeding up the process of building where planning permission has been granted, the government plans to pay to clean up brownfield sites for housebuilding, encourage local authorities to give small parcels of land to smaller developers and guarantee bank loans to small builders.