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Government U-turn on new homes plan

Housing Minister Nick Raynsford has announced that the government has revised its plans for the number of new homes to be built in the South East over the next 5 years. In March, John Prescott announced that 43,000 new homes would be built each year in the region by 2006, but yesterday's announcement showed something of a U-turn from the government, with the new annual figure set at 39,000.

This new target level means that there will actually be a reduction in the number of new homes built each year, with 700 fewer homes being built annually. The new target is likely to remain in place until 2006, after which Mr Raynsford predicts that the number is likely to revert to the figure of 43,000 - a level which would then be sustained for 10 years.

Despite the reduction, the government has come under fire for the announcement, since the new figure still represents more new homes than local councils think is acceptable. Serplan, the South East Regional Planning Authority that represents 118 local councils, claims that it is impossible for more than 33,400 homes to be built without seriously damaging the environment.

However, the government has responded to the criticism by arguing that Serplan is "not taking proper account of the region's future housing needs" in it's recommendations. Too few homes, the government reckons, will lead to further dramatic price rises in the most overcrowded regions, making it even more difficult for underpaid key workers to buy property in many areas.

The Government has proposed that the 39,000 new homes will be built in the following areas: Hampshire (6,030), Kent (5,700), Essex (5,240), Hertfordshire (3,280), Buckinghamshire (3,210), West Sussex (2,890), Berkshire (2,620), Bedfordshire (2,430), Oxfordshire (2,430), Surrey (2,360), East Sussex (2,290) and the Isle of Wight 520 homes.

Meanwhile, ever quick to whiff an opportunity to take a stance against the government, William Hague has promised to completely abolish all government-set targets for housebuilding if the Conservatives win the next general election. It is hoped that the new 'Save our Greenfields' campaign will help garner support amongst voters who feel strongly about the right of property builders to brick over countryside with new developments.