Govt housing plans dealt blow

Posted: 29 Aug 2007 11:10:54 GMT

Gordon Brown's plans to build three million new homes across the UK have been dealt a blow by a new report.

Gordon Brown's plans to build three million new homes across the UK have been dealt a blow by a new report.

Much of Mr Brown's proposals are focussed on building in the south-east, but the report suggests that a lower rate of house building should take place in the region.

It says that 32,000 new homes should be built per year, well below the government's proposed target of 38,000.

Inspectors make it clear in the report that the figures put forward are targets rather than ceilings but criticism of Mr Brown's plans has already begun.

"Gordon Brown's plans to impose millions of new homes on the south-east are in tatters after the government's own planning inspectors rejected them," Henry Smith, chairman of the South-East County Leaders, told the Financial Times.

He went on to label the government's proposals "impetuous and ill thought-out".

If the plans fall through it will inevitably keep house prices at an inflated level, spelling good news for homeowners.

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