The number of planning permissions granted for new homes in 2011 is half the number of homes that are required to meet demand, according to the HBF report.
The Housing Pipeline report says that 21,900 homes across England were granted planning permission from July to September this year, which is 50% less than the average number of homes granted in 2006 and 2007.
The number of planning permissions granted for social housing between July and September 2011 was 58% lower than the same period in 2010.
The report said that the Government must stand strong on its planning reforms to get the country out of the current housing crisis and that the measures announced in the housing strategy, aimed at boosting housing supply, depend on effective planning reform.
“These figures demonstrate clearly why Government must stand firm and deliver a robust planning system that provides enough land to meet the nation’s housing needs. Its recent Housing Strategy contained some very positive measures, but if they are to bear fruit, the planning system must be fit for purpose," said Stewart Baseley, executive chairman of the HBF.
“Building the homes we need would take millions off social housing waiting lists and enable beleaguered first time buyers to buy their own home," he said. "It could also create half a million new jobs, so giving the country a huge economic boost.”
The number of homes being built now is lower than any level since the 1920s, according to the report. This results in long social housing waiting lists; overcrowded accommodation, and a reduction in the number of first time buyers, which further stagnates the market, according to the HBF.
It usually takes three to four years from the grant of planning permission for a home to be built, so the figures contained in the report reveal the potential for intensifying the country’s housing crisis, the report said.
“Continuing to under-deliver housing is storing up huge social and economic problems for the years ahead and it must be addressed," said Beasley.
