The Housing & Finance Institute works with local councils, government, housing businesses, investors and professionals to support partnership working and capacity building to deliver the homes the country needs.
It's founded on the work of the Elphicke-House Report for HM Government which made the case for councils to take the lead as Housing Delivery Enablers - shaping and delivering for their communities.
Next year is our tenth anniversary ! It was brilliant for the HFI board to meet for our strategy day to plan out our programme of work for 2025 - including a new round of our flagship Housing Business Ready programme.
Key policy delivery work underway includes financing social and affordable housing, new approaches to partnership working and green upgrades to existing housing stock for healthy and cosy homes.
Our popular industry roundtables are back, including a post-Budget roundtable in November.
We met at our HFI partner organisation Trowers & Hamlins - hosted by leading law firm partner Rob Beiley who is one of our original founder directors.
Pictured above is our current chairman, Sir Steve Bullock, HFI director Natalie Elphicke Ross and board member Emma Webster - with a throw back photo to our official launch in the City of London's Guildhall below.
Housing Delivery Snapshot - August 2024
• The Bank of England cut interest rates to 5% in a move expected to begin to boost confidence. The close 5-4 vote of the MPC came with a cautionary message that the Bank was not going to cut “too quickly or by too much”.
• Mortgage lender Nationwide released its latest UK house price index report, with an annual growth in house prices of 2.1% in July, its fastest pace since December 2022.
• The latest NHBC housing pipeline figures for Quarter 2 2024 show the scale of the current housebuilding slump with a 23% fall in new registrations compared to the same quarter in the previous year.
• Latest MHCLG data reported a significant fall in residential Planning Permissions over 30%, another key housing pipeline indicator.
• Following the General Election, the new Government confirmed its 1.5 million new homes target for this Parliament.
• The Housing Secretary took immediate action to impose compulsory housebuilding targets on councils, with a warning of direct intervention if housing targets are not met.
• The Housing Minister confirmed on BBC Radio 4’s Today programme on 31 July that the Government’s New Towns programme is not expected to deliver any completed homes this Parliament.
HFI Housing Delivery Newsletter - August 2024
The Bank of England’s rate cut was a ray of light, but the housing pipeline remains a cause for concern. At the Housing & Finance Institute, we look at the latest news and developments in housing since the election, including in the Housing Spotlight and Delivery Snapshot.
Rate Cut Boost
Amid a challenging year for housebuilding and mortgages, there was a ray of light on 1 August, with the Bank of England announcing a long-awaited interest rate cut to 5%. The close 5-4 vote of the Monetary Policy Committee came with a cautionary message that the Bank was not going to cut “too quickly or by too much”.Ahead of the rate rise, the mortgage lender Nationwide released its latest UK house price index report, with an annual growth in house prices of 2.1% in July, its fastest pace since December 2022.
The latest Bank of England announcements will provide a little relief for some current mortgage holders and those needing to refinance. However, many first-time buyers are facing a continuing double challenge of finding money for a deposit while meeting stringent affordability criteria. So while generally mortgage market confidence may begin to rise off the back of the Bank of England interest rate cut, access to home ownership remains difficult for many, given the affordability and home deposit challenges.Housing Pipeline Concern
However, housing pipeline figures remain a cause for concern with the latest NHBC housing pipeline figures showing the scale of the current housebuilding slump. Latest MHCLG data reported a significant fall in residential Planning Permissions, another key housing pipeline indicator.Housing Policy Interventions
Following the General Election, the new Government has confirmed its 1.5 million new homes target for this Parliament. Immediate action has been taken by the Housing Secretary to impose compulsory housebuilding targets on councils, with a warning of direct intervention if housing targets are not met. However, the Government’s New Towns programmes is now not expected to deliver any completed homes this Parliament, the Housing Minister told Radio 4’s Today programme. This raises questions as to how the 1.5 million new homes target will be delivered, without these major new developments coming forward at pace.
Further Government intervention on the demand side to support new buyers and home deposit savers is likely to be necessary over the next period to reverse the current housebuilding slump, together with far-reaching interventions for skills and building materials to meet a housing target that hasn’t been met since mankind first landed on the moon over 50 years ago. The HFI’s purpose is to support increased housing supply, back councils and businesses working together to build more homes and promote new ways to finance housebuilding.
Do get in touch if you would like to share ideas and suggestions on building the homes our country needs.
Best regards
Natalie Elphicke Ross
Head of Housing Delivery
natalie@hfi.org.uk