The £200 billion landbank that could boost the UK's housing supply
How UK housebuilders are tapping into land to accelerate homebuilding amid rising demand, improved mortgage affordability and government pressure for delivery.
The nation's biggest housebuilders have been using their landbanks, worth a combined value of £200 billion, to deliver more homes to market in the face of growing buyer demand spurred by improving market confidence and greater mortgage affordability.
West One Loans, a leading provider of property finance and specialist mortgages, has analysed the latest company reports for eight of the nation's biggest housebuilders, to see which currently boasts the strongest pipeline with respect to their individual landbanks and the value of these plots in the current market.
The government has been vocal in its demands for the nation's housebuilders to 'roll up their sleeves' to help achieve the ambitious target of 1.5 million new homes by 2029. So much so, it recently announced tough new rules forcing developers to commit to delivery time frames for planning permission, with those caught slacking risking losing their land to local authorities.
However, the latest analysis by West One Loans shows that the majority of the nation's major housebuilders are already rising to the challenge, having reduced their landbank pipelines as a result of delivering more homes.
The analysis shows that, across eight of the nation's biggest housebuilders, some 488,620 landbank plots were recorded within 2024 reports. Based on the current average UK new-build house price of £406,390, this means the total pipeline of these eight developers alone is worth an estimated £198.6 billion.
Bellway currently boasts the most robust pipeline, with 95,292 landbank plots reported in its 2024 figures, holding an estimated market value of £38.7 billion.
Persimmon ranks second, with 82,084 plots in its pipeline, worth an estimated £33.4 billion, whilst Taylor Wimpey sits third at £32 billion in market value across 78,626 landbank plots.
However, while these developers have maintained a robust pipeline of plots, further analysis by West One Loans shows that there has been an increase in development activity on landbanks, no doubt driven by improving market conditions and increasing buyer demand as a result of a stabilising mortgage market.
Across all eight major housebuilders, total landbank volumes have fallen by 3.6 per cent over the last year. In fact, all but one of the developers analysed by West One Loans has reduced the size of its landbank.
Vestry Group has broken the most ground in this respect, with a -7.9 per cent year on year reduction in landbank volume. Berkeley Group has seen a -6.8 per cent reduction, while Crest Nicholson has seen an annual drop of -6 per cent.
Only Miller Homes has seen an increase in this respect, although it's a marginal one, with its landbank volumes up by 0.1 per cent on an annual basis.
'It's clear that, while many of the nation's developers have been sure to maintain a robust pipeline of landbank plots, they have also been pushing forward and breaking ground in order to bring more homes to market to meet growing demand,' says Co-Head of Short-Term Finance at West One Loans, Thomas Cantor.
'This is despite the fact that the current landscape still presents a range of challenges. But, as interest rates have stabilised, we've seen more housebuilders turn to the specialist finance sector to help them facilitate their ambitions
'This has largely taken the form of a greater reliance on bridging in order to help part fund their initial project, as well as utilising development finance in order to exit existing builds in order to push forward with the next.
'We've seen numerous examples over the past 12 months where developers have utilised us to help them in both instances and, finding a finance specialist that can do so will ensure a far smoother process throughout.'
Data tables and sources
Data on landbank volumes sourced from each of the eight housebuilders individual company reports for 2024 - sourced within the data tables linked below.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Independent
7 minutes ago
- The Independent
Transfer news live: Rashford nears Barcelona switch, Liverpool's Ekitike offer, Arsenal latest
The summer transfer window rolls on as Premier League clubs and those around Europe look to add to their squads ahead of the 2025/26 season. Arsenal 's negotiations for Sporting's Viktor Gyokeres had stalled due to a difference in valuation and terms, though the Gunners are now in the process of completing a move after a breakthrough in talks. Noni Madueke was unveiled on Friday, whereas Eberechi Eze remains a target, but Arsenal are set to leave on their pre-season tour of Asia without completing the deal for a new striker. Manchester United continue to focus on a deal for Bryan Mbeumo and have now agreed a fee for the Brentford forward with a medical to follow next, while there remains plenty of focus on outgoings as Marcus Rashford, Alejandro Garnacho and Jadon Sancho near the exit door. Liverpool are in advanced talks with Eintracht Frankfurt over Hugo Ekitike. The former Paris Saint-Germain player has a €100m (£86m) release clause and it is expected that Ekitike would want to make the switch to Anfield and that personal terms could be agreed with the 23-year-old.
Telegraph
8 minutes ago
- Telegraph
Oxford fusion pioneer risks running out of cash within months
A British nuclear fusion pioneer has warned it risks running out of cash within six months as it races to raise millions of pounds in funding to secure its future. First Light Fusion, which is based in Oxford, is in talks with investors to raise £20m after burning through tens of millions of pounds to develop its novel fusion technology. The start-up, founded in 2011, had sought to develop what it called 'projectile fusion', developing a giant gas-powered gun that would fire a 5p-sized projectile at extreme speeds into a fuel source, sparking a fusion reaction. However, the company abandoned plans to build a prototype reactor earlier this year as it struggled to raise funds. The business is now seeking financing to supply its inventions to other fusion and technology companies. It has created what it calls an 'amplifier', a fuel capsule that can boost the power of nuclear reactions. First Light had previously raised more than £75m from investors including Tencent and London-listed IP Group. However, in company accounts signed off last month, First Light said it now only had cash reserves to continue to trade 'until mid-January 2026 whereupon additional funding shall be required'. The business said it had secured £10m in March, in the form of a convertible loan, and was in talks for a £20m equity injection in the coming months. However, that funding had yet to be confirmed, casting 'significant doubt on the company's ability to continue as a going concern'. The accounts for First Light said it had £9.9m in cash at the end of March and had burned through £13.4m in the past year. It said it ultimately planned to raise £60m. In April, The Telegraph reported that one of First Light's biggest investors had cut the value of its stake in the loss-making business by around 60pc. Holy grail of clean power Nuclear fusion aims to harness the kind of reaction that takes place at the heart of the sun, forcing hydrogen atoms together to release enormous amounts of energy. It is seen as the holy grail of renewable power as it has the potential to deliver continuous power, with helium its only by-product. Researchers have pursued fusion power for decades, but significant engineering and scientific challenges remain before a reactor can begin producing energy. The scramble for funding at First Light comes despite Labour promising to invest £2.5bn in fusion research over the next five years with the aim of developing a working reactor by 2040. On Thursday, Ed Miliband, the Energy Secretary, announced measures to ease planning rules for future fusion projects. Several US fusion companies have raised hundreds of millions of dollars to develop the technology. Last month, Google agreed to buy 200 megawatts of power from an as-yet undeveloped fusion plant in Massachusetts. Earlier this month, First Light confirmed its founder, Nicholas Hawker, had left the start-up. In a post on X, he said: 'I remain 100pc convinced that fusion can be done. But there are a set of hard truths that no amount of VC hype can disappear.' David Bryon, First Light's chief financial officer, said the company had seen significant interest, both in the UK and internationally, in its £60m fundraising round. He said: 'This is thanks to our strategic shift to a capital-light, high-margin business with applications across fusion, materials science, space and sovereign defence. With our unique capabilities, First Light is putting Britain at the heart of the global inertial fusion market.'
BBC News
8 minutes ago
- BBC News
Friendship dog charity gains more volunteers after funding boost
A charity which uses dogs to battle loneliness has recruited dozens more volunteers after a cash and Company aims to reduce social isolation for the elderly across north-east England, through regular visits from a furry pal. The £10,000 from rail company LNER's community fund meant it could carry out thousands more visits, the charity causes are being urged to apply for an award before the application window closes on 25 August. Awards are available to charities based within 15 miles (24km) of the East Coast Main Line, which connects London King's Cross to Morton, founder and chair of Wag and Company, said: "The funding has allowed us to recruit 40 new volunteers and their dogs who've brought companionship, comfort, and joy to over 200 older people. "The new volunteer teams have enabled us to deliver an additional 3,000 individual visits, offering not just a friendly face and a wagging tail, but a vital lifeline."She said the funding had made a "real difference" and encouraged other charities to submit a bid. Rachael Wilson, community investment manager at LNER, said: "We're incredibly proud to be able to support projects which have such a profound impact on people's lives. "We're really looking forward to supporting more charities in 2026 and eagerly await those applications." Follow BBC North East on X, Facebook, Nextdoor and Instagram.
