Planning approvals for new homes collapse to low (HBF reports current figures)
New figures analyzed by the Home Builders Federation (HBF) show a fall in planning permissions for new homes in England, with the latest quarter marking a low not seen since 2012. The data cover permissions granted across all sizes of sites, and the trend is described as weakening against government housing targets. This explainer breaks down what changed, who is affected, and practical next steps for readers seeking context.
What changed in planning permissions
According to the HBF’s Housing Pipeline report, the number of new homes receiving planning permission in England fell by 21% in the latest quarter. For Q2 2026, 45,315 homes were granted planning permission, the lowest quarterly total since 2012. For the year to Q2 2026, permissions reached 214,515 homes, the lowest annual total since 2013 and an 8% drop from the previous year. The HBF notes the 2017 peak was much higher than current levels.
The decline is especially pronounced for larger developments: approvals for sites with more than 10 units fell by 21% quarter-on-quarter to 39,689, and were 14% below Q2 2025. Private-home approvals also fell by 19% in the latest quarter.
These figures are placed in the context of the government’s stated targets for a larger housing supply and the National Planning Policy Framework’s aim to deliver roughly 1.5 million new homes in this parliamentary period. The HBF attributes part of the slowdown to broader market and policy conditions and discusses a newly announced equity loan scheme intended to help first-time buyers, described by the HBF as potentially supportive of housing supply.
Who is affected by the changes
Households considering buying or renting new homes may be influenced by slower supply growth, potentially affecting prices and availability, particularly for first-time buyers. Builders and developers may adjust plans in response to slower permission rates for larger sites. Local councils and planning authorities are involved in granting permissions and shaping development pipelines, so changes in the volume of approvals can influence planning workloads and local housing stock in the medium term.
Practical next steps for readers
For readers seeking to understand the impact on housing options or market expectations, consider the following:
- Track quarterly planning-permission data and compare with the government’s stated housing targets to gauge whether supply is keeping pace.
- Follow announcements on the new equity loan scheme (Your First Home) and any related policy updates that could affect first‑time buyers and lending conditions.
- If you are involved in planning or development, review site sizes and development timelines, as larger sites show the most pronounced declines in permissions, which could influence project planning and financing.
- Consult local planning authorities for any jurisdiction-specific trends, since regional variations can diverge from national patterns.
Which sources did Setup in Bahrain review?
Setup in Bahrain reviewed the following source material before preparing this explanatory article.
The links remain visible so readers can inspect the evidence, compare dates and context, and confirm current requirements with the relevant authority.
- todaysconveyancer.co.uk — evidence source reviewed for this article.
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