Housing starts lowest since 1924

The number of homes being built in Britain has plummeted to its lowest level since the early 1920s as falling house prices exacerbated the credit crisis in the construction industry. A report out today reveals there have been just 135,000 housing starts this year, compared with 203,500 in 2007, and with many projects dating from before the worst of the financial crisis hit, there are fears that house building will grind to a complete standstill. The report argues the government must speed up its own programme for social and affordable housing as it is ‘clear the private sector is not going to be able to deliver these homes directly or through section 106 agreements’.