The Communities and Local Government Committee has launched an inquiry into the capacity of the housebuilding industry to meet the overwhelming demand for new homes.
The Committee is inviting chief executives of major housebuilders to give evidence to the inquiry, which will include the role of SME developers, the skills, size and sustainability of the workforce, development finance and the planning process.
As part of the inquiry, the Committee will also look at different ways of overcoming the constraints the industry faces, for example through offsite construction, self-build and direct commissioning by government.
It is also likely to invite ministers, industry body representatives, the Homes and Communities Agency (HCA), local authorities and housing associations to give evidence in public, as well as skills and training experts, representatives of the offsite and self-build sectors, and debt and equity financiers.
The industry has until September 12 to contribute written submissions on issues including: whether the numbers of builders and types of companies within housebuilding is enough to meet housing demand; housebuilders’ business models; and the extent to which approaches to planning delay new homes delivery.
Clive Betts MP, chair of the Committee, said: "The capacity of the homebuilding industry is a key factor in housing supply, which is simply not keeping up with demand and has left us in the midst of a crisis.
“The Committee will cast a critical eye over the major homebuilders, examine the decline of small and medium-sized developers and look closely at the skills shortages, planning delays and finance issues hampering the industry.”
Steve Turner, HBF’s communications director, commented: “The industry has increased its capacity significantly over the past few years which has allowed it to deliver big increases in housing supply.
“We will provide the Committee with the evidence to demonstrate the steps taken, such as the recruitment of tens of thousands of new people including apprentices and graduates who will, if the economic and policy environment allows, enable the industry to continue to drive housing supply in the future."
