House builders shares drop

April 28, 2015

Some of the biggest names in UK housebuilding took a hit Monday on the stockmarket as Labour’s plans to impose tighter rules on landlords emerged.

This drop in housebuilding stocks comes as no surprise, we already have the Labour party threatening a Mansion Tax and the abolishion of Non Dom Staus, now rent caps and what it appears a witch hunt on private landlords. The signals being sent out by Ed Miliband are that of someone who would appear to be in a total state of panic, we are getting policy after policy being promised  but there does not appear to be any rhyme or reason to them.

The private rental sector is ever growing as people increasingly are forced out from owning their own home due to affordability, home ownership has fallen to its lowest level for 30 years, more controls on the private rental market will only add to reducing the availability of rented accomodation.

Conservative housing minister Brandon Lewis was quoted as saying: “Rent controls never work – they force up rents and destroy investment in housing leading to fewer homes to rent and poorer quality accommodation.”

 

Allen Walkey

Highly experienced businessman with a successful career in property sales and investment both in the UK and abroad. Now a freelance writer and blogger for the property and Investment Industry, keeping readers up-to-date with changes and events in a rapidly changing world.

You May Also Enjoy

Breaking News

Applicant budgets remain stable and rental prices in line with historic norms

Ratio of new renters per instruction rose by 5.1% from 8.9 to 9.4 applications per instruction. Average rental prices declined by 4% in November 2025, remaining closely aligned with November levels observed over the past four years. Year-to-date, average rental prices are 2% higher in 2025 compared to 2024.   New data from Foxtons, London’s…
Read More →
Estate Agent Talk

The Impact of Increasing Lease Conversions on Estate Agents in 2026

2026 is shaping up to be a watershed year for the property market. Economic pressures, shifting demand and regulatory changes are converging to create a surge in lease conversion applications. For estate agents, this “perfect storm” will reshape the portfolios they manage and redefine their role in advising landlords. Mustafa Sidki of the construction team…
Read More →
Breaking News

First-time buyers help drive the most home moves for three years

Zoopla forecasts 1.5% house price growth for 2026 Housing sales hit 1.2 million over 2025 despite Q4 Budget slowdown More sales doesn’t mean faster price growth – house prices rise just 1.1 per cent (vs 1.9 per cent in 2024) The hottest markets for price growth across Britain are the Scottish Borders (TD postal area…
Read More →
Breaking News

Mortgage Lending Statistics – December 2025

Latest findings The outstanding value of all residential mortgage loans increased by 0.9% from the previous quarter to £1,733.7 billion, and was 2.9% higher than a year earlier. The value of gross mortgage advances increased by 36.9% from the previous quarter to £80.4 billion, the largest increase in new advances since 2020 Q3, and was…
Read More →
bank of england interest rate
Breaking News

Bank of England interest rates decision – Thoughts from the Industry

The Bank of England has just announced its decision to cut the base rate to 3.75%, the first cut seen since August of this year. This decision comes after inflation (CPI) dropped to 3.2% in November (from 3.6% in October), slowly edging towards the Bank’s 2.0% target. The Monetary Policy Committee voted 5-4 in favour…
Read More →
Breaking News

A Winter Rate Cut to Thaw the Market

By Kevin Shaw, National Sales Managing Director, LRG Today’s reduction in interest rates is very welcome news – for homeowners, buyers, property professionals, and no doubt Government ministers. This warming news is set against a chilly backdrop: unemployment has increased to 5.1%, while the November Budget tightened the fiscal screws. Inflation, however, has eased to…
Read More →