According to the latest data on starts and completions of new build dwellings in the UK, the number of project starts in the year to June 2025 (117,390) have increased 30% on the same period in 2024 (90,810).  Of the total starts, there has been a 28% uplift in housing associations (29,940), and a 31% uplift in private housing (86,450).

The total number of completed dwellings in the year to June 2025 was 143,570, a 13% fall on completions in the year to June 2024 (164,230). Of the total completions, local authority levels have dropped by 38%, housing associations by 2%, and private housing by 15%.

Kelly Boorman, National Head of Construction at RSM UK, said: “The latest housebuilding data shows a sharp rise in the number of new build starts in the year to June 2025, which reflects the continued drive of housebuilders to deliver on the government’s ambitious housing targets, across both private and social housing sectors. However, the surge in activity is dampened by completions, which have fallen by 13% over the same period, with private housing completions also falling by 15%.

“With the Autumn Budget looming and the government’s proposed changes to property tax, including an annual property tax charge of 0.54% on properties above £500,000, there is growing uncertainty among housebuilders and consumers. Housebuilders are especially concerned that these announcements could impact activity in Q4, which has historically been their strongest period, with completion levels usually around 40,000.

“From a consumer perspective, especially in London and the South regions, the prospect of future tax changes is discouraging buyers and sellers to enter the market, which is stalling consumer confidence and delaying transactions. The added uncertainty surrounding stamp duty land tax is further adding to the dip in consumer confidence and dampening demand.”

She added: “Housebuilders are already under pressure to offer incentives to buyers to increase completion volumes and could now face a further obstacle to lower prices below the £500,000 threshold in order to manage these shifting goalposts and mitigate risk, particularly in the private residential sector where many developers acquired land and obtained planning under different tax conditions. In contrast, businesses delivering social housing are seeing more sustained growth as a result of stronger volume commitments. However, social and affordable housing momentum may face future headwinds if inflationary pressures persist. Looking ahead to the Autumn Budget, to prevent a long-term slowdown in housing completions, housebuilders and consumers need clarity on future tax changes in order to make informed decisions about investment, pricing and purchasing.”

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