United Kingdom

Details

  • Industry: Real Estate
  • Type: Press release
  • Date: 12/06/2014

Game changing measures to release brownfield land must be implemented quickly, says KPMG 

Commenting on tonight’s announcement of measures by the Chancellor to kickstart housebuilding, Jan Crosby, Head of Housing at KPMG, said:

“The Chancellor’s announcements go some way to tackle one of the systemic issues at the core of Britain’s housing crisis: a lack of ‘shovel ready’ land.  By streamlining the planning system for sites suitable for redevelopment, we will get more land into the hands of those who want to build high quality homes quickly.

 

“These measures have the potential to be transformative, kickstarting development on brownfield sites delivering both new housing and an improved urban environment.

 

“The changes will also give councils a stronger and more strategic role in shaping their local housing supply.  Using the local development orders, they will decide what should be built and where.  With this role comes responsibility: care must be taken to maintain a balance in the type and location of homes.  Brownfield is not the sole answer and planning must continue to deliver a mix of housing locations and types – people must want to live where houses are planned.

 

“We are pleased to see New Homes Zones being rolled out across the country – as set out in our recent report with Shelter they have been used with success in Germany and the Netherlands to deliver game changing mechanisms to build more homes at an affordable price.

 

“House price inflation continues at a pace and hence these measures must be acted on quickly, not consulted on for years.

 

“Granting the Bank of England new powers to act on limiting mortgage loan to value and loan to income ratios is useful to control irrational exuberance, but there is no indication that there is an issue at the moment and other mechanisms may be better to use in most circumstances.  The fact is that the level of house prices have already reached levels that cannot be afforded with 3x income mortgages – other than with a loan from mum and dad or with Help to Buy.  Focusing on affordability stress tests is a better option in most circumstances.”


-Ends-

Notes to editors:

For press enquiries please contact
Zoe Sheppard, PR Manager at KPMG: +44 (0)117 905 4337 
zoe.sheppard@kpmg.co.uk 


About KPMG
KPMG LLP, a UK limited liability partnership, is a subsidiary of KPMG Europe LLP and operates from 22 offices across the UK with approximately 11,500 partners and staff.  The UK firm recorded a turnover of £1.8 billion in the year ended September 2013. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. It operates in 155 countries and has 155,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity.  Each KPMG firm is a legally distinct and separate entity and describes itself as such.

 

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