NFB criticises Government over starter home fiasco

Government has pulled the rug from under small builders

The National Audit Office says that despite being announced in 2014, the Government’s starter homes policy has delivered zero homes instead of the promised 200,000 by 2020.

Richard Beresford, chief executive of the National Federation of Builders (NFB) said: “We worked hard with the Government to make them understand how important this policy was to small builders and communities. They’ve not only pulled the rug from under small builders, including many hard-working NFB members, but also from under thousands of homebuyers who would have benefited from this policy.”

A Government spokesperson said, ‘Even new homes conforming to the intended specifications cannot be marketed as starter homes, which has made getting developers on board challenging.’

The NFB, which has been the major driver behind keeping the starter homes conversation alive, says the Government is being disingenuous. The Government needs to remember that developers are not always housebuilders and that housebuilders often build homes for others, which in this case, could have been councils, Homes England, Government or even a developer.

Priced at no more than £250,000 outside London and £450,000 inside the capital, the only criteria for eligibility was to be a first time buyer and under 40 years old. The scheme was meant to deliver on brownfield sites, a specialty of small builders, and deliver much needed planning certainty.

Rico Wojtulewicz, head of housing and planning policy at the House Builders Association, said: “Only last week we tried to make contact with Homes England about starter homes and we now know why we didn’t get a response. The Government has failed to deliver on a key promise that industry had planned for. They must either deliver or kill this policy – or they risk further damaging small and medium sized builders.”

National Federation of Builders

The National Federation of Builders is a United Kingdom trade association representing the interests of small and medium-sized building contractors in England and Wales.

You May Also Enjoy

Estate Agent Talk

Unmodernised property opportunities dwindle

Jonathan Samuels, CEO of Octane Capital, believes that the shrinking supply of unmodernised property stock is making specialist refurbishment finance more important than ever, as investors increasingly need to move quickly in order to secure the remaining opportunities available. Octane Capital analysed current listings of unmodernised properties across England and compared current stock levels to…
Read More
Letting Agent Talk

London Marathon route showcases London rental market

Rents range from £1,500 to £6,000 per month The latest research from London lettings and estate agent, Benham and Reeves, has found that the London Marathon route offers a striking snapshot of the capital’s rental market, with average rents ranging from just £1,500 per month at some points of the course, to as much as…
Read More
Breaking News

Section 21s continue to rise ahead of looming ban

The latest research industry insight from LegalforLandlords Section 21 “no-fault” evictions continued to rise in 2025, increasing by 1.7% following a sharp 20.4% surge the previous year. This sustained growth highlights landlords’ continued reliance on Section 21 notices, raising important questions about how possession will be regained once they are outlawed under the Renters’ Rights Act,…
Read More
Estate Agent Talk

Rightmove house price data showing a 0.8% month on month increase

Commenting on the latest Rightmove house price data showing a 0.8% month on month increase, Daniel Austin, CEO and co-founder at ASK Partners, said: “Today’s rise in UK house prices points to underlying resilience, but momentum remains constrained by affordability pressures and a ‘higher for longer’ interest rate environment. While recent rate cuts signal easing…
Read More
Breaking News

Canary Wharf tops the London Marathon route

The latest insight from property management specialist Rushbrook & Rathbone has found that E14 is the strongest postcode along the London Marathon route for landlords looking to invest in the capital’s rental market, delivering an estimated average yield of 6.6%. Rushbrook & Rathbone analysed current asking house prices and rents across postcode districts spanning the London…
Read More
Breaking News

46% surge in remortgaging activity in Q1

Stonebridge Mortgage Market Index    Overall mortgage activity rose 24.6% in Q1 while applications for home purchase softened Stonebridge today relaunches its Mortgage Market Briefing as a quarterly Mortgage Market Index   The volume of remortgage applications surged 46% in Q1 prompting overall mortgage activity to jump by a quarter, Stonebridge can reveal. The mortgage…
Read More