Industry concern over New Home Bonus

Jan. 1, 2011
Housebuilders remain concerned that the government’s New Homes Bonus – which went out for consultation late last year – will be ineffective in encouraging local authorities to build houses in their area. <br> <br> The swift consultation period on the Bonus – which will see the government match fund the council tax generated on each completed new home for six years - ended on Christmas Eve and the industry remains unconvinced that it will provide a suitable incentive. <br> <br> Ian Baker, Galliford Try’s group md for housebuilding, said that uncertainty over the Bonus and the ongoing planning hiatus were making daily activities extremely difficult: “Right now we can’t promote the benefits of a housing scheme,” he explained. “We don’t have the facts and figures and can’t give the level of incentive. I’ve so far seen no local authorities that are pushing for the Bonus.” <br> <br> And Andy Portlock, director of Hadley Property Group, said the Bonus money would not be enough to sway communities opposed to development. “We are very concerned about localised nimbyist sentiment stifling the granting of planning permissions,” he said. “Particularly in areas that might not need the increased revenue the Bonus can bring, or …

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