The number of new homes registered to be built in London has more than doubled in the last twelve months, indicating buoyancy in the UK capital’s housing market.
As many as 7,088 new homes were registered to be built between March and May this year in London, as against 3,154 during the same period last year. A report released by National House Building Council (NHBC), the number of new homes registered to be built between March and May 2019, increased by 125 per cent over the corresponding period in 2018.
The NHBC has attributed the surge in registration of new homes to growing demand in the private rental sector (PRS) and inward investments into the London residential property market.
NHBC is the leading warranty and insurance provider for new homes in the UK and its registration statistics are a lead indicator for the new homes market.
New homes registration increased across the UK also during the period under review. In the month of May alone, more than 16,000 new homes were registered to be built across the UK – 11 per cent more than a year ago, with numbers boosted by inward investment in the rental sector.
While 43,985 new homes were registered to be built between March and May 2019 across the UK, it was 39,059 in the same March-May period last year. The private sector was up nine per cent (31,322 in 2019 v 28,612 in 2018), with the affordable and rental sector up 21 per cent (12,663 in 2019 v 10,447 in 2018).
Overall, during this period, there was growth in eight out of 12 UK regions, demonstrating stability in the housing market.
NHBC Chief Executive Steve Wood welcomed the figures: "It is encouraging to see such strong figures in May. This has been helped by the increase in the private rental sector and the upturn in London, fueled by inward investors as well as new developments from established players."