Since Labour was elected, there’s been excited anticipation in the contract flooring industry. In a stagnating economy, with inflation prominent, there isn’t much positive to hold onto. Although the last government was given a thumping, it’s fair to say everything wasn’t entirely its fault. The lockdowns in 2020, and the Ukraine war in 2022, meant only a miracle could give us a surging economy.

That said, it’s no exaggeration to say housing targets announced by Labour gave construction (and as a result, commercial flooring) a shot in the arm. If government builds as many houses as it promises, or even gets close, there’ll be business aplenty for builders. Housing developments will, if Labour has its way, spring up everywhere, providing jobs and accommodation for many.
Increasing supply, improving affordability, and modernising planning were the focus of Labour’s housing agenda. It pledged to reinstate mandatory housing targets and rework the National Planning Policy Framework to accelerate development. Reforming the planning process by shifting most decision-making to expert planning officers was another proposal, designed to limit local councils from blocking new housing.

Labour emphasised a brownfield-first strategy to prioritise previously developed land, while also introducing the idea of releasing selected ‘grey belt’ sites for development under strict environmental safeguards.

To address the shortage of affordable homes, Labour planned a major expansion of social and affordable housing including reforms to the Affordable Homes Programme and a review of Right to Buy discounts to protect public housing stock. Support for first-time buyers featured prominently, with a permanent mortgage guarantee scheme to reduce deposit and mortgage costs, and a commitment to give these buyers priority access to new developments over global investors.

It’s clear Labour’s plan was ambitious. After a year of its administration, where do we stand? Significant reforms have taken place but progress has been mixed. The ball has been set rolling on its flagship aim to build 1.5m homes by the next election, but housing completions are below target.

On 11 May, The Times reported housebuilding will have to double in two years to hit Labour’s target of 1.5m homes, according to ministers. ‘Britain will have to build 374,000 homes a year from 2027, official estimates say, the first time government has put yearly figures on a goal central to PM Sir Keir Starmer’s push for growth. Matthew Pennycook, housing minister, insisted government was ‘on track’ to hit the target, promising ‘very, very high’ rates of building at the end of the parliament. But many experts are sceptical, pointing to shortages of construction workers as well as delays in the planning system.’

The Times reports last year just 184,390 homes were completed, and construction began on only 132,460. Citing a slump caused by the previous government, Starmer has always refused to commit to building 300,000 homes a year to hit his target over the parliament.

But an impact assessment of government’s Planning and Infrastructure Bill has confirmed that owing to the slow rates at present building will have to rise to levels last seen in the ‘60s.

Overall, Labour has laid the groundwork for significant changes in housing policy, but it has a long road to travel. We’ll soon see if its big talk is matched by big action.