House builders have been busy “ploughing ahead” constructing new homes despite Brexit, according to the CEO of Haart .
Estate agency boss Paul Smith was reacting to a report on house building in the second quarter of 2016 , released by the Department For Communities And Local Government.
The data showed house building starts in England rose by 2% in the period, especially in parts of London and the South East.
Paul said: “The data shows that despite all the claims in the run-up to the referendum campaign, the construction of new homes remained steady in the second quarter, with house building starts up 2% on the first and up 6% on the same time last year. Completions were also up a healthy 7% the first three months of the year.
“It seems house builders were busy ploughing ahead with new sites despite the referendum noise, because the demand for new homes remained high.
“The referendum result will test the nerve of house builders, but it’s clear that since June the impact on economic confidence has been less than expected, with consumers continuing to spend and a housing market flat-lining rather than falling.”
Completions were 7% higher than the previous quarter but 2% lower than 2015.
However, Tower Hamlets was one of the London Boroughs where the completion rate had decreased.
Paul said: “Now that interest rates have dropped, it won’t be long before things pick up again and house-hunters hungry for the first home will be looking to take advantage.
“We also have a new government committed to ensuring that house building prospers, and so house builders should not hesitate to act now. If house building slows in the third quarter, this will only exacerbate the housing shortage when the market does spring back to life.
“It is up to the Government and the Mayor Of London to ensure building remains attractive, so as to safeguard investment in new sites and provide the new homes that are so clearly needed.”
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