Crisis talks are under way over the future of Constructing Excellence after it emerged that the Housing Forum is planning to leave the industry body, write Tom Bill and Joey Gardiner.

According to sources close to the situation, the Housing Forum will break away from the body to join the National House Building Council (NHBC), which is seen as more closely aligned to its needs.

As a result of the move, Constructing Excellence (CE) will lose about £400,000 a year in subscription revenue from an overall total of £1.4m.

Concerns have been raised over the financial stability of CE after the body made a pre-tax loss of about £500,000 last year, and more than £1.2m in total over the past two years.

One source suggested that the loss was also a factor in the Housing Forum’s decision.

Another said: “That’s a lot of money to lose at a time like this. Questions have been raised over whether Constructing Excellence will survive.”

There are no question marks over our survival and we will break even this year.

Don Ward, CE chief executive

The claims of financial instability were rejected by Don Ward, CE’s chief executive. He said: “The organisation is in the black. The loss over the past two years isn’t good, but there are no question marks over our survival and we will break even this year.”

He said the departure of the Housing Forum was based on the “unique set of issues” faced by the housebuilding sector. “They have a very different agenda to the rest of the industry,” he says.

Earlier this year, CE cut 12 jobs, which was a third of its staff.

n Stephen Ratcliffe has stepped down as chief executive of the Construction Confederation to become director of the UK Contractors Group, the industry body to be launched next year. The confederation has appointed Manus Adamson, chairman of Adamson Group, its executive chairman.