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

Breaking News

The Rental Market is Rebalancing

But 78% of Tenants Still Can’t Find What They’re Looking For Nine in ten landlords believe the balance of power in the rental market has shifted in favour of tenants over the last two years – yet a quarter of tenants still feel landlords hold the upper hand, according to new research from LRG. The…
Read More
Letting Agent Talk

Dispelling the top five biggest letting agent myths

Sophie Danes, Group Director of Property Management, Lomond   This year has seen the introduction of the seismic Renters’ Rights Act (RRA) as well as other changes affecting the private rented sector (PRS) coming into force, such as the rollout of Making Tax Digital (MTD). As a result, more than ever before, there is a lot of information and speculation surrounding the sector making…
Read More
Breaking News

A fifth of Gen Z would move 25 miles or more for affordable housing

Price is the top priority listed by Gen Z for finding a home (24 per cent), with location the aspect most compromised for affordability (21 per cent) Barclays Mortgage data shows the average deposit fell -16.4 per cent year-on-year in May, however it remains the top barrier to homeownership reported by renters Nine in 10…
Read More
AI in estate agency letting agency property
Breaking News

Can AI-powered search platform push out Rightmove for renters?

Boss of global architecture firm takes on Rightmove with AI-powered search platform where renters describe where they want to live An AI-powered start-up launched by the former boss of a major architecture business wants to disrupt the duopoly of Rightmove and Zoopla by enabling renters to find homes by using normal everyday language – as…
Read More
Breaking News

Midlands sees largest property management fees increase

The latest research from Rushbrook & Rathbone has found that property management fees in the Midlands have increased by an estimated 53.9% over the past decade, the fastest rate of growth across England’s regions, highlighting a widening divide in costs between the North, Midlands, and South. The research analysed average rental values across England’s regions…
Read More
Breaking News

Continued season momentum with applicant demand up for lettings

Foxtons Lettings Market Index – May 2026 Continued season momentum with applicant demand up month on month and supply increasing.   The season’s momentum carried on undeterred. Applicant demand climbed sharply month on month, supply held ahead of last year and the market stayed balanced through it all. Competition eased compared with last year, with…
Read More