A crackdown on ownership of ‘land trusts’, including foreign investors, has been announced by the Government and backed by former agency owner Kevin Hollinrake MP (main pic).

It is to be made clearer who owns the trusts in a move designed to tackle corruption in the property sector.

Currently, the identity of the beneficiary is not always recorded or publicly available, potentially leading to secrecy or corruption in the sector, the Government says.

The new plans will mean residents, the media and the public will be able to find out who owns land and property, as well as who controls it and receives financial benefit from it.

‘Veil of secrecy’

Michael Gove, Housing Secretary

Housing secretary Michael Gove says: “It matters who really owns land and property. These proposals will lift the veil of secrecy currently afforded to land-holding trusts.

“Transparency about land ownership is crucial if we want to make our housing and land markets fairer. In its absence, injustices, corruption and crime can flourish.”

A consultation on the plans runs for eight weeks, and seeks views on widening access to trust information held on the Register of Overseas Entities.

The Register for Overseas Entities is imperative in ensuring we weed out kleptocrats and oligarchs buying up British properties under false names”.

Kevin Hollinrake MP

Hollinrake, minister for small business and co-founder of the Hunters chain, says: “The Register for Overseas Entities is imperative in ensuring we weed out kleptocrats and oligarchs buying up British properties under false names, and has already helped identify absent landlords so that they can be held to account.”

The changes will make it as easy as possible for people to access all land and property ownership data across a range of different public registers.

Greater transparency will help tackle illicit finance and corruption in the system, the Government says, with offshore trusts in the UK property sector identified as posing a higher risk of money laundering.

More on money laundering

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London tops the league table of the worst performing regions for new home completions, according to hybrid estate agency eXp UK.

Figures for the last 10 years show that the capital is the poorest performing part of England for average homes built in a year.

eXp analysed data on the number of dwellings completed across each region of the country.

The data shows that last year (2022-23), 174,600 new homes were delivered, with the South East seeing the largest number of new homes at 30,960.

Over the last 10 years, the average level of new homes reaching the market across England has increased by 4.1% each year.

Negative

London is the only region to have seen negative movement in this respect, with new dwelling completions falling by -0.3% each year on average over the last decade.

By contrast, the North West has seen an average increase of 10% per year, followed by the West Midlands (8%) and the South East (4%).

On an annual basis, 2% more homes were delivered across the nation with London topping the table in this respect with an 18% uplift in new homes completed.

Newbuilds

The East of England also saw a considerable increase of 17%, followed by the East Midlands (7%), South West (5%) and Yorkshire and the Humber (5%).

The number of new dwellings completed fell by 17% across the North West versus the previous year, with the West Midlands (-6%) and South East (-2%) also down year on year.

It actually ranks as the worst region when it comes to the delivery of new homes on a long-term basis.”

Adam Day, International Expansion Leader, eXp UK

Adam Day, head of eXp UK, says: “Housing delivery is, and always has been, a controversial topic, and we’re yet to see the Government make any meaningful impact when it comes to addressing the current housing crisis.

“While the London market may have enjoyed a very strong year, it actually ranks as the worst region when it comes to the delivery of new homes on a long-term basis.”

Read more about newbuilds.

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New build developments are being held up by logjammed planning departments with many delayed for up to two years.

Official Government figures show four out of five big housing schemes are taking as long as 24 months to get an answer from local councils.

Staff shortages in planning departments mean over-worked officers are failing to hit their own targets for approval decisions, The Times reports.

Only 19% of large scheme applications are determined within 13 weeks, which is down from 57% 10 years ago.

Threatening

Michael Gove, Housing Secretary

Housing secretary Michael Gove is reported to be looking at how to deal with the problem, after writing to 10 councils threatening to take over their planning departments.

The Government is considering raising fees in the hope the extra revenue will solve the shortage of planning officers.

Problems with decisions are hampering the Government’s efforts to hit 300,000 new properties every year.

Slumped

New build planning approvals slumped to the lowest level since 2008, official figures revealed last month.

The total in England reveals the number of new homes with planning permission fell by more than 10% to 269,000 in the year to March.

The figures from the Department for Levelling Up, Housing and Communities showed that in the first quarter of this year local authorities granted 75,000 approvals, down 11 per cent from the same time last year.

Labour has accused the Government of allowing consents to collapse, and leader Sir Keir Starmer said the party would allow building on green belt land by lifting planning restrictions in some areas.

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A specialist division called VICI, aimed at supporting the rapidly growing build-to-rent (BTR) sector is being launched by Centrick this week at MIPIM, the world’s largest international real estate event, held in Cannes.

The Birmingham based property company operates in residential sales and lettings, estate management, commercial and has a new homes division. The BTR ‘platform’, as they call it, is claimed to pull all the elements of the BTR operation together in one division, servicing property developers and funds.

Centrick has offices in Birmingham, Solihull, Nottingham, Southampton and London.

BTR Boom

A BTR development is designed to appeal to the rental market as opposed to long-term home ownership. A recent report by the British Property Federation showed that the UK BTR sector grew by 15% between Q3 2021 and Q3 2022 and regional BTR grew at almost triple the pace of London (20% vs 7%) in the same period.

The number of BTR homes either completed, under construction, or in planning now stands at over 240,000. Completed BTR homes could increase fivefold to reach more than 380,000 in the next decade, with the sector’s worth growing to £170 billion, the report predicts.

The Founder of Centrick, James Ackrill (main pic) said: “There is a demographic of young people finding it increasingly difficult to buy their own homes, leading to a greater need for high quality homes to rent. The BTR sector is very well-placed to make a major contribution to the provision of thousands of much-needed new homes and is an attractive proposition for investors and developers.”

It is a fast-growing sector and there is a huge amount of investment going into it.”

He added: “By combining Centrick’s world class talent, industry leading technology, unmatched lettings team, and our management and practical expertise, VICI will deliver seamless performance at all stages of the BTR journey – connecting the dots between people, platforms and experience.”

VICI director Neelam Saihjpal (main pic) said: “Crucially, we’re not just advising clients, we’re operational experts at every stage, letting and managing these developments with a strong focus on community engagement.”

“It is a fast-growing sector and there is a huge amount of investment going into it.”

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A new development under the new First Homes scheme has been unveiled by Crest Nicholson in the market town of Ashby-de-la-Zouch in Leicestershire.

The scheme, which was launched by Boris Johnson, enables first time buyers and key workers to purchase new-build properties in England at a 30% discount to the market value with just a 5% deposit, and is the government’s answer to the challenges faced by many young people getting on the property ladder who want to stay in their home town or area, or keyworkers live near to their job.

To be eligible for the scheme, the property must be a new-build and applicants must be first-time buyers with a household income of no more than £80,000.

Applicants must also be able to access a mortgage of at least 50% of the market price of the property. Local councils may set additional eligibility requirements.

Crest Nicholson is working with the scheme at its Potter’s Grange development in Ashby, which features a collection of three-, four- and five-bedroom homes.

Three-bed homes from £193,900

Prices at Potter’s Grange (pictured above) using the First Homes scheme start from £193,900 for a three-bedroom home.

Vanessa MacNee, Sales and Marketing Director at Crest Nicholson Midlands, commented: “We’re proud to be providing support for first-time buyers at Potter’s Grange through the government’s First Homes scheme.

“With the end of the government-backed Help to Buy scheme, the First Homes scheme is a great alternative which supports first-time buyers. It now sits alongside Deposit Unlock, which offers mortgages with just a 5% deposit, and Home Reach, which provides part-buy, part-rent options, as schemes available at the development.

“This is a great opportunity to join a well-established, bustling, and diverse community of homeowners, including young professionals and families.

“The scheme is proving very popular, with many completions already taking place.”

Read more: Ministers have not thought through First Homes scheme.

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As the temperatures start to plunge in the UK, agents might be forgiven for thinking about setting up a field office in southern Spain.

And there would be good reason – Spain’s much-anticipated digital nomad visa could be introduced in early 2023, triggering another flood of Brits to the country.

The draft proposal provides non-EU citizens with the chance to live in Spain for up to five years while working freelance or as a contracted employee of a company outside Spain.

It is also believed that the visa will deliver a tax rate of 15% for digital nomads, instead of the usual 24%.

While digital nomads await confirmation of the visa’s implementation, energy nomads are also eyeing up Spain. Between the cost of energy in the UK and the potential for supply problems over the winter, escaping to the warmth of Spain is even more appealing than usual.

We have already seen an increase in the number of people buying second homes in Spain and then using them for work.”

“We have already seen an increase in the number of people buying second homes in Spain and then using them for work. Buyers are also staying in their properties for longer than they did pre-pandemic,” said Marc Pritchard, Sales and Marketing Director of Taylor Wimpey España.

“We anticipate that this will increase as both digital nomads and energy nomads head to Spain to wait out the winter in the warm.”

Average winter temperatures of 12ºC

The Costa del Sol enjoys average temperatures of 12-13°C between December and February, while the abundant sunshine (averaging five hours per day in December and January, before jumping to seven hours per day in February) provides plenty of scope for harnessing solar power.

Taylor Wimpey España has been installing solar thermal panels on its developments along the Costa del Sol for years. They harness the sun’s energy to provide hot water, lowering energy bills for homeowners and reducing reliance on supply from the grid.

The Costa del Sol provides a wealth of opportunities for keeping physically fit, while the warm winter weather and stunning scenery can also do much for mental wellness.”

The company’s latest resort is Solana Village, at La Cala Golf in Malaga. The first phase of the development will deliver a mix of apartments, penthouses and duplexes with different finishes, within a common architectural concept that slots beautifully into the gently rolling greenery of its surroundings.

East-facing homes, which are priced from €295,000 (£252,650) plus VAT, will deliver views of Solana Village’s communal gardens pools, as well as the golf course beyond. South-facing homes, meanwhile, will deliver front-line golf views, with prices starting from €370,000 (£316,922) plus VAT.

Demand is so strong that three-bedroom townhouses at another Taylor Wimpey España development – Natura – are now fully sold out. Details of a new development will be revealed early in 2023.

“The lifestyle of the Costa del Sol provides a wealth of opportunities for keeping physically fit, while the warm winter weather and stunning scenery can also do much for mental wellness. Combined with factors such as the increase in remote working and the ongoing energy crisis, we’re anticipating a busy winter here in southern Spain,” added Pritchard.

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The John Lewis Partnership has announced a £500m, multi-decade project to build 1,000 new homes to rent in the South-East.

John Lewis will develop and manage the projects, which will include affordable housing and have a focus on sustainability, in line with the firm’s 2035 net-zero pledge.

The move is aimed at providing a stable income for the business, which saw a 5% fall in sales at Waitrose supermarkets in the six months ending 30 July 2022.

Under the plan, Waitrose shops in Bromley and West Ealing in Greater London, subject to planning permission, will be redeveloped to provide new homes and improved stores. In Reading, a vacant John Lewis warehouse will be redeveloped.

The sites were chosen because of their central location and good transport links. The project is the first tranche of 10,000 new homes John Lewis plans to build over the next decade.

Shortfall in rental properties

The firm believes the build-to-rent sector has a key role to play in addressing the shortfall in homes – in London alone there is a shortfall of 75,000 rental properties.

The project is being financed by UK-based investment manager abrdn.

Nina Bhatia (pictured), Executive Director for Strategy and Commercial Development at the John Lewis Partnership, said: “Our partnership with abrdn is a major milestone in our ambition to create much-needed quality residential housing in our communities.

“Our residents can expect homes furnished by John Lewis with first-rate service and facilities. The move underlines our commitment to build on the strength of our brands to diversify beyond retail into areas where trust really matters.”

Neil Slater, Head of Real Assets, abrdn, said: “The critical lack of quality rental accommodation in the UK needs to be addressed, so we are delighted to partner with the John Lewis Partnership to provide the required institutional investment.

“The ambitions and responsible ethos of our brands both strongly align, and our partnership should offer investors long-term returns and give residents confidence in a top-quality living experience.”

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Fewer new homes will be built if the Government ditches its 300,000 housing target, a major building society warns.

Leeds BS says that if some Tory MPs get their way and the annual figure is dropped, then the housing crisis will get worse.

The warning comes after 47 MPs backed an amendment to the Levelling Up Bill banning any top down targets.

Last year 232,820 new homes were built, leaving the Government well short of the total it wanted.

Martese Carton, Director of Mortgage Distribution, Leeds Building Society

Martese Carton at Leeds Building Society, says: “There is no silver bullet when it comes to solving the UK’s housing crisis, but nationally set housebuilding targets exist for a reason.

“Indeed, The Home Builders Federation previously warned that scrapping the 300,000 targets could lead to 100,000 fewer homes each year. This is unacceptable.”

Soaring prices

Carton adds: “We are facing a chronic shortage of homes resulting in soaring house prices which drive deposit requirements and mortgages ever higher. This means first-time buyers are finding it harder than ever to get on the ladder. Added to this, high interest rates are forcing up the mortgage costs for millions.

“Housing targets help to catalyse supply as well as providing consistency and stability – all things the market desperately needs as we seek to rebalance supply and demand.”

Former Chancellor George Osborne told The Negotiator Conference last week that the target was unachievable unless the Government built 100,000 homes itself.

Housing secretary Michael Gove admitted in the summer that it was unlikely the target would be reached.

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