Last year was the strongest for new home registrations since 2007, according to an industry body.
The National House Building Council (NHBC), which released the figures, said the last three months of 2022 had been “challenging” after a strong performance earlier in the year.
Across the UK, NHBC recorded 191,801 new registrations in 2022, marking the highest annual total since 198,467 in 2007.
The number in 2022 was 26% higher than in 2021, according to figures given to the PA news agency.
There was a 21% drop in new home registrations in the last three months of 2022 compared to the previous quarter as the impact of September’s mini-budget and broader economic challenges took hold, the NHBC said.
He said London was particularly affected by the drop in registrations towards the end of the year, with the north of England and Wales also affected.
Steve Wood, chief executive of NHBC, a provider of warranties and insurance, said the data reflected the fluctuating economic climate.
He said: “While the last quarter of 2022 was certainly challenging, it was due to strong market performance in the first half of the year.
“Rising interest rates and the cost of living crisis have had a marked impact on many areas of the UK economy.
“Home construction has not been immune to these factors, but the demand for high-quality new housing, whether in the private or rental sector, is still holding up.
“It is too early to judge how long a slowdown is likely to last, home construction continues to show resilience.
“The industry has shown time and time again that it can weather market fluctuations and respond to growing demand.”
The NHBC has a 70% to 80% share of the UK collateral market.
His figures indicate the stock of new properties in the pipeline, as homes are registered with the NHBC before they are built.
In 2022, there were 141,757 new registrations in the private sector, an increase of 25% compared to 2021, and 50,044 were in the affordable and “build-to-let” sector, a year-on-year increase of 29%.
NHBC also said that private sector registrations were particularly affected by the drop in the fourth quarter, while the rental sector was less affected.
David Campbell, NHBC’s Chief Commercial Officer, said: “Homebuilding in the rental sector has been flat over the past two quarters, with investors and developers turning to growing demand for high-quality rental housing.
“The diversity of the home construction market and an increased focus on ‘build to rent’ is proving to be an important factor in housing supply.”
Campbell said early 2023 is likely to be a difficult time for the homebuilding market, but added: “Historically, builders and developers have held up well in difficult economic circumstances, partly driven by the imbalance between demand and supply of new homes.
“Unsurprisingly, many are considering the feasibility of bringing new projects to market very carefully, particularly in light of the latest Bank of England base rate hike, but there are signs this will be temporary as levels ease. inquiries and reservations begin to decrease. raise.”
The figures also show that 151,120 new homes were completed in 2022, 8% more than in 2021.
Here are the 2022 new home registration numbers by region and the increase or decrease compared to 2021, according to NHBC:
– Northeast, 10,336, 38%
– Yorkshire and the Humber, 13,665, 30%
– East Midlands, 23,574, 36%
– East of England, 23,715, 14%
– London, 14,679, 20%
– Southeast, 25,959, 22%
– Southwest, 17,581, 21%
– West Midlands, 18,517, 34%
– Wales, 5,065, 22%
– Northern Ireland and Isle of Man, 3,172, minus 13%
– North West England, 20,200, 42%
– Scotland, 15,338, 22%