Committee criticises pursuit of building new homes at expense of raising environmental standards

An urgent review of the government's housing targets are needed because of the “fundamental” recent changes in the housing market following the credit crunch.

A cross-party group of MPs recommended the government “urgently reviews” its target to build 3 million homes by 2020, and 240,000 new homes a year by 2016.


The government's housebuilding targets have been criticised

The report by the Environmental Audit Committee said the government should review “the assumptions on which the three million homes target was based and whether it is still justified on the basis of the latest economic growth projections, fundamental changes in the mortgage market and house prices.”

It also said the government should prioritise raising the environmental standard of new homes above building more. It found: “The government has made its priorities clear: out of building more homes, and ensuring that new homes are zero carbon, it favours building more homes. Given the housing market slowdown, the government should reassess these priorities.”

It concluded that it should make a greater amount of the balance of the three million homes built after the zero-carbon deadline.

The committee also called on the government to suspend its implementation of increases in the number of homes due under regional spatial strategy reviews until a full environmental audit of higher homes targets is carried out.

Housing minister Margaret Beckett said the communities department was committed to building greener homes and cutting carbon emissions. She said: “Now is not the time to scale back on long-term ambitions because of current economic difficulties. We need to be ready for the recovery and be able to meet long-term demand for homes from first-time buyers and families which is not going to go away. Those who argue against more homes need to seriously think about the future consequences for families on waiting lists, or those living in overcrowded homes, or struggling to get onto the housing ladder.”

The report, Greener Homes for the Future: An environmental analysis of the government's housebuilding plans, is available at http://www.publications.parliament.uk/pa/cm200708/cmselect/cmenvaud/566/56602.htm

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