A new ‘State of Play’ survey will assess how Labour’s first year in power is affecting housing supply, with potential knock-on effects for mortgage availability and buyer demand.

Close Brothers Property Finance, the Home Builders Federation (HBF) and Travis Perkins have launched a nationwide survey aimed at small and medium-sized housebuilders to evaluate the practical impact of the Labour Government’s housing policies.

With ministers pledging to deliver 1.5 million new homes over the parliamentary term, mortgage brokers will be watching closely for signs of movement in housing supply pipelines – especially in the SME sector, where many schemes underpin local purchase volumes.

VIABILITY CHALLENGES

The survey, unveiled at UKREiiF and open until 10 June, seeks insight into viability challenges, planning gridlocks and broader regulatory burdens that may be slowing delivery.

Notably, it invites comment on whether developers believe the mortgage market is supporting buyer demand – or whether constrained affordability and product availability are dampening transactions.

A key area of focus is the growing disconnect between SME developers and housing associations over Section 106 units, often leaving affordable homes in limbo and affecting downstream purchase volumes.

DOUBLE CHALLENGE

For brokers, such logjams present a double challenge: reduced new stock and tighter borrower options.

Early insight from the sector suggests that despite efforts to streamline planning and incentivise build-out, many SME developers remain cautious about scheme feasibility, with rising build costs, labour shortages and limited exit routes weighing on risk appetite.

Take the survey HERE.

Phil Hooper, chief executive of Close Brothers Property Finance, said: “The State of Play survey shines a light on the systemic roadblocks facing SME housebuilders.

“It provides invaluable data to advocate for smarter policy, faster delivery, and a bigger role for SMEs in meeting the 1.5 million homes target.”

Neil Jefferson, chief executive of the HBF, added: “ Over recent decades, the increasingly complex and challenging operating environment within which home builders have had to operate has resulted in a dramatic fall in the number of SME house builders.

“Smaller builders play a crucial role within our industry and, if the policy environment allows, can make a major contribution towards the ambitious housing targets set by ministers.

“With the Government approaching the end of its first full year in office, this will be a crucial litmus test of how effectively its policies are facilitating SMEs delivering new homes.”

STUMBLING BLOCKS

And Ben Todd, Managing Director of Travis Perkins Managed Services, said: “SMEs continue to face mounting obstacles – from planning gridlocks to rising materials and labour costs.

“This survey is a vital opportunity to capture their voice at scale, helping policymakers understand the real barriers on the ground.

“By identifying these obstacles we can do our part for bringing about meaningful change for the sector.”

Take the survey HERE.