Improved market sees housing starts up by a third in Q2 2013

Country House

Housing starts were up over a third in the second quarter of the year on 2012 following a strengthening housing market and the government’s launch of a revised equity loan scheme.

The latest figures from the NHBC found that 35,683 homes were registered by the body in the three months to the end of June, up 38.3% on the same period last year. The starts were also up 12.4% on the first quarter of this year, demonstrating the impact of the Help to Buy announcement in March.

The figures show improvement in construction starts for both private sale and social housing, with housing associations being given a deadline of September this year to start schemes in order to qualify for grant under the 2011-15 affordable housing programme. Private starts were up 29.1% on Q2 2012, with social housing starts up 67%.

The news comes as official figures showed 6,899 homes had been sold under the £3.5bn Help to Buy equity loan scheme, which offers a 20% government-funded loan to fund a deposit for buyers of new-build homes since it started in April.