New home completions recover to pre-COVID-19 levels, according to NHBC
New home completions increased by 16% year on year in the second quarter of the calendar year, returning to pre-pandemic levels of 40,289, according to figures from the National House Building Council (NHBC).
In April, May, and June, a total of 10,326 new houses were finished in the affordable and build-to-rent sectors, matching the same time previous year.
The number of new home registrations, the procedure by which house builders register plots they intend to build on with NHBC, increased by 45 percent year on year in the second quarter to 66,855.
This uplift is in part due to builders seeking to minimise the cost impact of energy efficiency regulations introduced in June, the NHBC added.
Meanwhile, the number of new home completions increased in 11 of the 12 UK areas, with the highest rises in the North East (1,781 in the second quarter of this year, up from 1,284 in the same period last year) and the East Midlands (3,071 to 4,117).
Only in Wales did new completions dip somewhat, from 1,189 to 1,183.
The private sector drove growth in new home completions, which increased by 23% year on year to 29,963 in the second quarter of this year.
“Our newest data illustrate that output from the new houses market has made a healthy comeback to pre-pandemic levels,” said Steve Wood, chief executive of the NHBC.
“At this point, we are not seeing evidence that the cost-of-living problem or recessionary threats are impacting consumer demand, while registration numbers reaffirm the sector’s sustained optimism.”
The NHBC findings come on the heels of Homes England’s annual report, which revealed that the agency missed its affordable home completions objective by almost a fifth and its overall completions target by 15% due to “labor and materials constraints.”
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