Empowering small housebuilders can help meet new homes targets: Matt Gibson

SME housebuilders once built around 40 per cent of the UK’s new homes, today, that figure is closer to 10 per cent, according to research from the Federation of Master Builders.

That sharp decline is a major reason why national housing targets are missed. Reversing it starts with empowering regional SMEs to get back to doing what we do best: delivering high-quality, locally targeted housing that strengthens communities.

The current planning system is skewed in favour of larger players. SMEs like us face disproportionate costs and delays just to bring forward modestly sized, sustainable schemes.

That’s why we’ve been part of a consortium responding to the Government’s consultation on “Reforming Site Thresholds,” calling for practical and deliverable change.

This consortium includes other Yorkshire-based SME housebuilders such as Ashfield Group, Bankhead Group, Parklane Homes, Newett Homes, Shadwell Developments, Thomas Alexander Homes, Venturi Homes, Yorkshire Choice Homes, Yorkshire Land Limited, Mallard Homes and Yorkstone Homes, advised by leading planning consultant Johnson Mowat.

Encouragingly, the proposals include a simplified Permission in Principle (PiP) process, streamlined Biodiversity Net Gain (BNG) rules for small sites, and clearer planning thresholds.

These would help cut red tape and reduce risk. In addition to this consultation, we would also like to see the speeding up and simplifying of building regulations, and other statutory agreements, which can be critical to gaining funding and providing more certainty on timescales, which is vital for SME housebuilders.

While large strategic allocations will always play a part, small and medium-sized sites are equally vital to meeting the housing needs across the region and country. These sites are often easier to integrate into existing communities and can be delivered more quickly, helping to maintain supply and address local demand without overburdening infrastructure.

With a mix of types, tenures, and price points, it’s this variety that enables social inclusion, affordability, and vibrant mixed communities.

SME housebuilders have the agility and flexibility to take on constrained sites and form partnerships with estates and landowners to deliver homes, as we have recently done with the Raby Estate in County Durham.

Smaller sites also lend themselves to a bespoke architectural approach. At Wharfedale Homes, where we build homes on sites ranging from four to 80 plots, we pride ourselves on designing homes that reflect and enhance local character. Smaller developments are more responsive to the identity and heritage of a place, and that means stronger, more cohesive communities.

Crucially, SME developers also contribute significantly to local economies. From supporting local tradespeople and putting in place local supply chains, our projects have a ripple effect far beyond the site boundary.

This Government has a real opportunity to rebalance the system. With the right reforms and a new approach, SMEs can once again become the backbone of British housebuilding. We’re ready to play our part.

Matt Gibson is Land and Planning Director at Wharfedale Homes