Housebuilder Bellway has called on the Labour government led by Andy Burnham to introduce an immediate cut to stamp duty, as the FTSE 250 company warns of uncertain short-term demand. The appeal, made by chief executive Jason Honeyman, also proposes a Government-backed deposit support scheme for first-time buyers to ease affordability constraints.
Bellway's call for urgent action
In a statement, Bellway urged the government to act now to improve access to housing across all tenures. Honeyman emphasised the need to help first-time buyers onto the property ladder and support the delivery of affordable and social housing for those who need it most. He said: “With the near-term outlook remaining uncertain, we call on the Government to act now to improve access to housing across all tenures, both by helping first-time buyers onto the property ladder and supporting the delivery of affordable and social housing for those who need it most.”
The company's appeal comes amid persistent building cost inflation and widespread consumer caution, which have made short-term demand unpredictable. Honeyman added: “In order to ease affordability constraints and stimulate demand, an immediate reduction in stamp duty alongside a Government-backed deposit support scheme for first-time buyers would both drive economic growth and accelerate the delivery of much-needed new homes across the country.”
Burnham's housing agenda
In an address in Manchester last month, Burnham said that “the country is in a housing trap” and called for a huge “council house building programme”. He has vowed to oversee the “biggest council house building programme since the post-war period”, using vacant public land to reduce costs. The Labour government is set to deliver its first Autumn Statement and Budget on October 28, from Chancellor John Healey.
Burnham has indicated he will focus on higher-density development in existing towns, aiming to reinvigorate high streets and protect green spaces from development. The government's plans are expected to be detailed in the upcoming Budget, which will be closely watched by the housing industry.
Bellway's performance despite headwinds
Despite the challenges, Honeyman highlighted Bellway's robust performance and growth in volume output. He said: “Bellway has delivered a robust performance and growth in volume output, despite ongoing headwinds for our industry. Our sharp focus on operational improvement and drive for capital efficiency has provided resilience and supported a strong increase in cash generation and shareholder returns.”
The company's call for stamp duty reform and deposit support comes as part of a broader industry push to address housing affordability. With the Budget approaching, stakeholders will be looking for concrete measures to stimulate demand and boost housing supply across the country.
