Leap in new home figures

The NHBC said registrations for new homes between May and July increased by 72 per cent in the region to 2,168, from 1,258 in the same period a year earlier.

However, the industry body said despite the increase, too few homes are being built. "Our figures seem to reflect what much of the housing sector is thinking – that too few homes are being built," said Imtiaz Farookhi, chief executive of NHBC.

"Yet we know the UK needs more homes and it is vital that somehow the industry is able to deliver on those needs. The coming months will be crucial as we head towards the Chancellor's spending review and the very important autumn sales season for housing."

National figures showed the number of registrations to build new homes improved in July by 15 per cent to 10,638, compared with 9,263 in June.

For rolling quarter May to July 2010, the NHBC received 30,771 registrations to build new homes – a 30 per cent increase on the same period last year.

Mr Farookhi said: "It is encouraging we have seen a rise in registrations during July, after the dip in June, however this should not be taken out of context.

"It does seem clear that following the very strong recovery we witnessed in the first quarter of the year, volumes appear to have reached a plateau at levels well above last year's depressed volumes, but still materially below their long-term trend."