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Published: 30/09/2026
The Home Builders Federation (HBF) publishes a quarterly Housing Pipeline report based upon an analysis of housing projects tracked by Glenigan(1).
The report provides a breakdown of the number of housing units and sites granted planning approval each quarter.
New home approvals hit 14-year low as government launches first-time buyer support
Planning approvals for new homes in England fell to their lowest quarterly level since 2012 in 2Q2026, according to the HBF’s latest Housing Pipeline report.
New figures show 45,315 homes received planning permission in the second quarter, down by 21% on the previous quarter and by 12% compared with 2Q2025.
The data comes as the government confirms the launch of a new first-time buyer scheme, under which eligible buyers will be able to purchase a new-build home with a 2.5% deposit, supported by a 20% government-backed equity loan.
‘The publication of HBF’s latest housing pipeline report, alongside confirmation of the government’s new first-time buyer scheme, crystallises where we are on housing,’ said Dr David Crosthwaite, chief economist at BCIS.
‘Supply in England is dwindling, as multiple datasets continue to show, but the government finally appears to be doing some of what is needed to stimulate delivery.
‘Demand-side measures such as Your First Home should give housebuilders greater confidence to invest by supporting affordability and sales. Great British Grid could also help accelerate connections for major housing developments currently stalled by limited grid capacity.
‘But these measures address only part of the problem. Housebuilders still face a cumulative cost burden from levies, higher input costs and policy requirements. They are commercial businesses and cannot reasonably be expected to invest in developments that do not generate an adequate return.
‘If the government is serious about delivering 1.5 million homes, it needs to create the conditions in which those businesses are willing and able to invest and build.
‘This means looking holistically at the costs imposed on development and identifying where adjustments could materially improve viability. There is little sense in pursuing an ambitious housing target while simultaneously maintaining barriers that make it harder to achieve.’
The latest HBF data reinforces concerns that the government remains off track to deliver 1.5 million new homes by the end of this Parliament.
In the year to 2Q2026, planning permission was granted for 214,515 homes, according to the HBF report – the lowest annual total since 2013.
HBF said the annual total represents just 58% of the 370,000 homes a year identified in the government’s National Planning Policy Framework as the level of permissions needed to support delivery of 300,000 net additional homes annually.
Data published by the Ministry for Housing, Communities and Local Government paint a similar picture, showing 437,900 net additional homes were delivered in England between 9 July 2024 and 20 September 2026. If delivery continues at the same pace, the government would fall short of its 1.5 million homes target by more than 500,000 homes.
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(1) HBF – Planning approvals for new homes collapse to new low – here
