Figures are latest indicator of housing market slowdown as Burnham seeks to boost demand with Your First Home scheme
Registrations of new homes in the UK have fallen 13% year-on-year, according to the National House Building Council (NHBC).
The latest figures show 26,231 homes were registered with the warranty and insurance provider in the third quarter of the year, down from 28,901 in the same period in 2025.
A decline in registrations was seen in 10 out of the UK’s 12 regions, with only Yorkshire & Humber and west Midlands experiencing an increase. The drop in registrations was highest in the south east, which saw registrations fall 32%.
New home registrations in the private sector fell 8% year-on-year, while affordable and rental registration fell 23%. In terms of property types, apartments saw the highest drop (27%) followed by terraced housing (17%), with detached homes falling by the least (8%)
NHBC covers more than 70% of the warranty and insurance market and its figures for pre-construction registrations are widely used as an early economic indicator for housebuilding activity.
The figures were released days before the Burnham government’s first Budget, in which the government is expected to provide more detail of its Your First Home equity loan scheme which aims to stimulate housing demand.
The policy is expected to support 2.5% deposits, backed by 20% government-backed equity loans for prospective buyers purchasing a new build property from a developer signed up to the scheme. People will be able to access the loans with an initial interest free period.
The scheme will also set a household income cap, with local property price caps, to ensure it is targeted at those on lower incomes.
Daniel Pearce, chief strategy officer at NHBC, said: “Our new homes data underlines the scale of the challenge facing Government and the industry if it is to materially increase housing supply.
“The proposed Your First Home scheme is a welcome and important step, but there is no single solution.
“Sustainable growth will require action on both demand and supply - improving affordability for buyers while creating conditions for developers and investors to build with confidence by considering delivery costs, planning and regulatory constraints and investment barriers. The Budget is an important opportunity to make progress on both sides of the equation.”
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