More than 80% of Family Building Society members believe the Government will fail to deliver on its pledge to build 1.5 million new homes during the current parliamentary term, according to the results of a new member survey.
With the Government facing growing pressure to ease the housing shortage, the survey suggests that its own long-standing supporters in the financial services sector see current policy as insufficient – and are calling for bold, targeted reforms to break the impasse.
The findings present a damning verdict on the Government’s flagship housing policy, with members pointing to systemic issues in planning, taxation, and land use as obstacles to meeting the target.
While the outlook was bleak, respondents also put forward a series of policy suggestions aimed at getting Britain building again. Just over half of respondents backed measures to encourage construction on brownfield sites and land already granted planning permission.
STAMP DUTY BARRIER
Many also identified Stamp Duty Land Tax (SDLT) as a key barrier to market movement, particularly among older homeowners.
More than 50% of members supported scrapping stamp duty for downsizers, arguing it would help free up larger family homes and ease pressure on the housing market.
Reforming the planning system was seen as an urgent priority by 41% of those surveyed, outweighing support for reinstating a Help to Buy scheme, which was backed by 27% of respondents. Nearly half supported incentivising landlords to convert commercial premises into residential housing, a strategy seen as critical amid ongoing shifts in retail and office demand.
Members also backed raising the infrastructure levy to provide better support for local communities impacted by new developments, indicating that public consent for new housing could be bolstered by ensuring communities benefit directly from new projects.
RADICAL RETHINK
Alistair Nimmo, Director of Marketing at Family Building Society, says the results highlight the need for a radical rethink. “Our members have delivered a stark verdict on the Government’s ambitious housebuilding target.
“In their minds it is just not achievable through the current policy mix.”
He pointed to brownfield development and repurposing commercial property as sensible, immediate actions, while calling out the return of lower stamp duty thresholds on 1 April as a missed opportunity.
He adds: “Most of our members favoured scrapping it for downsizers, which will free up more properties for growing families.
