Your browser is no longer supported

For the best possible experience using our website we recommend you upgrade to the newest version of your browser.

Your browser appears to have cookies disabled. For the best experience of Construction News, please enable cookies in your browser.

Welcome to the Construction News site. As we have relaunched, you will have to sign in once now and agree for us to use cookies, so you won't need to log in each time you visit our site.
Learn more

Call for evidence into rented housing investment to launch in coming weeks

A call for evidence will launch in the next month with housing minister Grant Shapps determined to break the “institutional belief against institutional investment” in the UK rented housing market.

Mr Shapps announced last month that Sir Adrian Montague - Skanska’s non executive director - will lead a review of barriers to investment in rented homes.

Sitting before the Communities and Local Government Select Committee yesterday, Mr Shapps said the call for evidence will happen in the next month, with a report expected to reach him in the summer.

Mr Shapps said:  “I think there’s an institutional belief against institutional investment in this country, and that is what I’m trying to break.”

He said Sir Adrian - also the chairman of the advisory board to the Green Investment Bank - will look into what needs to be done to move investors into the market.

“I think there have been some early signs of progress, with some of the potential private institutions, the likes of Aviva, starting to register their interest in a way we have never seen before.

“There has been a little bit of a rush to that, so I’m hopeful.”

But he added that he did not want to “overegg” the chances of a major shift in the next five years. Mr Shapps said many see rented property as complex or difficult, but are starting to appreciate there is a stable market. He said the government has introduced incentives such as technical changes to stamp duty, so institutional investors are not disadvantaged, and real estate investment trusts.

Mr Shapps also told the committee that the government has released enough public land to house builders to construct 80,000 homes – running ahead of schedule as it aims to hit 100,000.

He also encouraged councils to embrace the “build now, pay later” scheme, urging them not to sit on land that could be used to house the population.

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Links may be included in your comments but HTML is not permitted.