5 factors

1 Local elections

Political pundits will be watching on 4 May to see whether the meteoric rise of David Cameron in the public popularity charts is improving the Conservative party's chances of winning votes. Regeneration professionals will be focused on matters closer to home as a change of political control at the town hall, particularly to the traditionally less development-friendly Tories, could scupper long-nurtured regeneration projects in the pipeline.

2 Kate Barker

In last December's pre-Budget report, Gordon Brown not only gave the government's response to Kate Barker's review of housing supply, but also announced that he had asked the economist to carry out an investigation into the planning system. With the Confederation of British Industry praising the news with a call for the government to "act quickly and decisively" on Barker's future findings, could there be at least the hope this year that the planning system may eventually work better?

3 Rules and regulations

Consultant King Sturge reports that the timetable for preparation of Local Development Frameworks (due by next year) is coming under pressure as local authorities are deluged with representations to their draft documents. The revision of planning policy guidance continues, with the draft PPS3 out for public consultation until the end of February. In April Parts L and F of the Building Regulations (covering energy conservation and ventilation respectively) come into force. The industry will also have to contend with the new Code for Sustainable Homes, due to come into operation in April.

4 The property market

There may be 1.2 million m2 of shopping centre schemes with planning consent waiting to be built, but with retailers consolidating, the ability to find tenants will dictate how much of this space actually gets delivered. In the office sector, the overall picture is flat, with King Sturge forecasting that some may be looking for ways of re-using and regenerating some of the now outdated out-of-town business parks dating from the 1980s. One vulnerable market sector is the one that has been targeted for a big share of regeneration activity: city-centre apartments. With a glut of apartments in the build pipeline, the market looking flat at best and prophecies that the industry could be creating ghettos of the future, 2006 could be the year that the city living phenomenon is seriously re-assessed.

5 Consolidation

Following top housebuilder Persimmon's acquisition of Westbury Homes at the end of last year, further consolidation within the private housebuilding sector is being predicted. Not to be outdone, the registered social landlord sector is also in the midst of a period of consolidation, with a new breed of RSL emerging to take on the more entrepreneurial role demanded in today's more competitive, grant-free working environment. This could be the year you find yourself changing employer, without changing job.