Planning reform alone will not fix the UK’s housing crisis, warns Propertymark

The second is the number of homes with planning permission that are left unbuilt, with not enough incentives to get these schemes going. 

The third is the shortage of skilled workers and low productivity in construction, which means the industry cannot build at the scale needed even when permissions are in place.

The paper also raised concerns that relying on bigger developments risks slowing things down, as large schemes take longer to build and can leave out smaller builders who could deliver homes more quickly on smaller sites.

Propertymark is calling for a more balanced approach. 

The group said governments should back local authority development, support smaller builders, tackle construction skills shortages, and make sure infrastructure is delivered alongside new homes.

Timothy Douglas, head of policy and campaigns at Propertymark, said: “There is no doubt that the planning system needs reform, but it is not the sole reason the UK is failing to build enough homes. 

“For decades, homes were delivered at scale under the same planning framework because local authorities were building, skills were available, and developments were incentivised to progress quickly.

“If we continue to treat planning reform as the single solution, we risk ignoring the wider structural problems that are holding back delivery.”

Douglas added: “To genuinely meet housing demand, governments across the UK must take a more holistic approach that supports builders, councils, and communities alike.”

The position paper set out 10 recommendations for policymakers. 

These include giving councils more power to build, backing smaller developers, linking up infrastructure planning, and starting a national campaign to boost construction skills and recruitment.

Propertymark warned that unless action is taken across all these areas, the UK will continue to miss its housing targets, no matter how much the planning system is changed.