New home numbers to plummet

The number of new homes being built in Britain next year will fall below 80,000, government housing officials say, while this year only 120,000 new homes were built, the lowest figure since 1924 and 140,000 below the official government target. The lack of development finance will mean the government will become the most important agent in the UK housing market, through the new Homes and Community Agency (HCA). The HCA has £17 billion to spend over the next three years and sources say it will invest directly in major housing schemes by taking an equity share; help push a project forward by paying for the infrastructure; or work in partnership with developers in an attempt to mitigate the downturn.