When the new Secretary of State, Steve Reed, pledged to “leave no stone unturned” in pursuit of the pledge to deliver 1.5 million new homes this Parliament, it struck exactly the right note. It was a message of energy and intent that the housing and planning sector urgently needed to hear - the challenge now is to convert that momentum into delivery.
After the General Election, the industry felt a rare sense of optimism. A government with a clear mandate to build, a new planning framework, and early moves to introduce the “grey belt” and reinstated housing targets all suggested a genuinely positive step-change. But that early burst of post-election energy had begun to cool as we progressed into 2025. Consultations have stacked up, with many still awaiting response from HM Government and too many of the crucial levers for delivery, seemingly remain stuck in process.
Reed’s arrival at MHCLG with his “Build Baby Build” slogan has rekindled a sense of drive across the sector. Yet that belief will only hold if progress becomes visible, tangible, and measurable. Warm words and policy pilots must give way to permissions, foundations, and keys in doors.
For developers, especially small and medium-sized builders, the question is increasingly one of viability rather than vision. The pressures they face are acute, higher interest rates, rising material costs, and a planning system still finding its rhythm. Around half of SMEs could face insolvency by the end of this Parliament without targeted intervention. These firms are the lifeblood of local economies and the backbone of delivering the 1.5 million home pledge, if we lose them, we lose capacity that cannot easily be rebuilt.
That is why the forthcoming Autumn Budget matters so much. The government’s commitment to reforming planning must now be matched by an equal commitment to stimulating demand and unblocking process barriers. Research by Lichfields shows that it now takes an average of two years to determine a major planning application, a delay that not only stalls delivery but deters investment. The opportunity is there to change this, through mechanisms like the introduction of National Development Management Policies (NDMPs) to create greater consistency and certainty across local authorities, and by standardising Section 106 agreements to cut months of negotiation and reduce costs. These are reforms that would make a real, measurable difference on the ground, particularly for SMEs who are struggling most with planning risk and cashflow. But even with those improvements, we cannot rely on supply-side reform alone. A new demand-side initiative would also be instrumental by helping first-time buyers onto the ladder, unlocking stalled sites, and reviving confidence across the supply chain.
At the same time, the government must avoid layering further costs onto delivery. The proposed single rate of landfill tax, for instance, could add more than £8,000 to the cost of building each new home, a policy at odds with the goal of affordability and supply. Similarly, reforms to infrastructure and affordable housing funding must be calibrated to encourage rather than constrain development, with greater flexibility for Registered Providers to use grant funding on Section 106 schemes and social rent convergence confirmed as a minimum.
Steve Reed is right to double down on the promise of “one of the biggest eras of building in our country’s history.” But if that era is to be realised, the next six months are decisive. Industry confidence is not a permanent asset, it is capital that needs to be invested quickly, before it dissipates into frustration - as it has done previously under the last administration. The reforms are there, the intent is clear, and the industry stands ready. Leaving no stone unturned must mean getting Britain building.
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Written by Hanad Darwish
Hanad Darwish is a political consultant currently Head of External Affairs at the Land, Planning & Development Federation and Director of Labour Friends of Somaliland
Image credit: MHCLG via Flickr