Building the homes we deserve
Sajid Javid tells the National House Building Council that, when it comes to homes, quality is just as important as quantity.

Good afternoon everyone, it鈥檚 great to be back here once again.
Now, as you can imagine, I talk about housing to a lot of audiences in a lot of different places.
But the NHBC lunch is the only event where I can discard my script and instead just read the inscription off the wall.
The one that promises people will 鈥渋nherit a home of unfading splendour, wherein they rejoice with gladness evermore鈥!
That鈥檚 basically the NHBC鈥檚 mission statement!
Or it should be!
And it feels good speaking with an audience where you know who I am.
That鈥檚 not always the case.
I was on my way home a little while back when a guy walks up to me and he says 鈥淚 know you! You鈥檙e that guy off the telly! You鈥檙e that politician who鈥檚 always going on about houses!鈥
So we had a little chat, and he said he was a big fan, asked for a selfie.
I was feeling pretty pleased with myself.
Not often I get that kind of praise from strangers.
And as he鈥檚 walking away he gets on the iPhone to his mate and says: 鈥淕uess who I just met? Sadiq Khan!鈥
Anyway, thank you to Isabel for that very kind introduction, you know who I am at least! And thank you everyone for coming along today.
But above all, thank you for adding 217,350 homes to this country鈥檚 housing stock last year.
It鈥檚 the biggest increase in housing supply for almost a decade, and it鈥檚 the highest level of building since the recession.
In fact, with the exception of the peak in the housing bubble just before the crash, it鈥檚 the highest level of net additions in a generation.
And it wouldn鈥檛 have happened without you, the people in this room.
The builders, the developers, the housing associations, the financiers鈥
There鈥檚 only so much any single organisation can achieve.
But when we bring everything together, everyone together, we get 217,000 homes for 217,000 hardworking families.
Now, last year I stood here on this very spot and gave a speech that was called 鈥淏uilding the Homes We Need鈥.
Well, since then you鈥檝e certainly been busy doing just that.
So give yourselves a well-deserved pat on the back.
But only a quick one!
Because, let鈥檚 not kid ourselves, there鈥檚 still a long, long way to go.
If we鈥檙e going to do more than just stand still, if we鈥檙e going to make serious in-roads into tackling this nation鈥檚 housing crisis, we鈥檙e going to have to build at least 300,000 homes a year.
It鈥檚 easy to throw out numbers like that.
But, as you know, actually getting the homes built is much more challenging.
But this is a government that backs builders.
That invests in the housing and the infrastructure we need.
That delivers planning reform.
A government that鈥檚 freeing up land, tearing down barriers and making sure local authorities plan for the homes that they need.
And that鈥檚 not just warm words.
As you saw in last week鈥檚 Budget we鈥檙e putting up the cold, hard cash.
At least 拢44 billion over the next 5 years in capital funding, loans and guarantees.
伊人直播 to unstick build-out on thousands of small sites.
To fund estate regeneration.
To unlock strategic sites including new settlements and urban regeneration schemes.
And 拢8 billion of new financial guarantees to support private house building and the purpose-built private rented sector.
Alongside this we鈥檙e continuing to reform the planning process.
We鈥檙e intervening with councils that haven鈥檛 produced a local plan.
And we鈥檙e simplifying the process of dealing with protected species.
Now, I like newts as much as any other Secretary of State!
But I also like getting homes built!
So we鈥檙e giving the industry the tools it needs to succeed.
And now it鈥檚 up to you to take those tools and use them well.
And I do, of course, expect you to use them.
Across the country we鈥檙e seeing record numbers of planning permissions granted, but the speed of build-out is still too slow.
Here in London, for example, detailed planning permission has been granted for almost 130,000 residential units that have yet to be built.
130,000.
And that鈥檚 in a city with 50,000 homeless households, with people living in temporary accommodation and more than a thousand people sleeping rough every night.
I know it鈥檚 a complex issue.
I know there are many reasons for the delays.
The industry, particularly the Home Builders Federation, have done a lot of fine work identifying and explaining the hurdles that are there.
As a result, for example, we鈥檙e cracking down on local authorities that impose burdensome, pointless pre-commencement conditions.
Yet concerns remain.
And that鈥檚 particularly true among communities that support the need for new housing, that accept the granting of planning permission, then get increasingly frustrated when months or even years pass without ground even being broken.
That鈥檚 why, in the Budget, we announced an urgent review of the problem, to be led by Sir Oliver Letwin.
With an interim report due in the spring, he will look at causes of and solutions to the gap between permissions and completions.
Contrary to what some commentators have suggested, Oliver鈥檚 conclusions have not been written in advance!
I know it鈥檚 not as simple as the popular narrative of greedy builders sitting on vast land banks.
I also know Oliver well enough to be sure he鈥檒l approach this with a completely open mind, and will be led by evidence rather than anecdote.
Regardless of who is responsible for the gap, there will be no hiding place.
So I鈥檇 urge you all to get involved, to engage with the process, and to share your views with Oliver and the panel that will support him in the review.
All of us here today have a common ambition, to get more homes built more quickly.
And this review will help make sure that happens.
But we don鈥檛 just want to see more homes.
As we鈥檝e just heard from Isabel, we want to see better homes.
That鈥檚 something the NHBC has been committed to for more than 80 years now.
And it鈥檚 something that you鈥檝e worked hard to deliver.
Over the decades, there鈥檚 countless people who have been able to buy a new home safe in the knowledge that you鈥檝e got their back if something goes wrong.
But while I don鈥檛 for one moment doubt that everyone in this room goes about their business with the best of intentions and the utmost integrity, what I can鈥檛 avoid 鈥 and what I think no one can deny 鈥 is that too many new-build homes are simply not good enough.
I see it in the media.
I see it my postbag.
I see it in Parliament, where the subject was recently debated with the Housing Minister.
Roofs that leak, front doors that don鈥檛 properly close, insulation that has been promised but never fitted.
Bare wires in showers, extractor fans that blow air in rather than sucking it out, patios that flood at the first sign of rain.
Brickwork that鈥檚 damaged, paintwork that鈥檚 been rushed鈥
I even heard about one couple who arrived with all their belongings in a van only to find that the road to their off-plan home hadn鈥檛 yet been built.
In another case, a whole family had to move out of their brand new home while the NHBC oversaw the repair of more than 20 major faults.
These kind of people are not alone.
Earlier this year, Shelter said that more than half of new-build owners discovered major faults after moving in.
Now of course you can argue with those figures.
You can point to customer satisfaction levels of between 80 and 90%, something I鈥檓 often told about.
But just think about those 217,000 new homes built last year.
Even if 80% of them have no issues, that still leaves well over 40,000 families living in accommodation that they don鈥檛 think is good enough.
Imagine what that鈥檚 like.
You鈥檝e saved hard for years, made sacrifices, put a little aside each month.
You鈥檝e found a place you can afford that suits your needs.
You鈥檝e secured a mortgage.
You鈥檝e made an offer.
You鈥檝e gone through all the rigmarole of buying and then, when you think the stress is behind you and that you can finally sit back and enjoy your new home, you start finding faults that take months and sometimes even years to remedy.
It鈥檚 not just disappointing.
It鈥檚 devastating.
And when the biggest, most expensive, most important purchase of your life has turned into something of a nightmare, it鈥檚 little consolation to hear that other people are happy.
It鈥檚 easy to see why new-build homes have developed something of a reputation.
With most purchases, modern is seen as a virtue.
People want to own the latest car, they want to own the newest phone, the most up-to-date computer.
But when YouGov spoke to people right across the nation they found that less than a third of Britons 鈥 only 29% 鈥 said they would choose living in a new home over an old one.
Worse still, barely a fifth said that new homes were built to a higher standard than older ones.
Again, you can argue with whether or not people should actually think this.
But the steady drip, drip, drip of horror stories is clearly having an effect on the public perception of your industry.
And the fact that after-sales costs for builders are steadily rising suggests that problems are becoming more widespread.
That might be down to bad design, it might be down to poor workmanship.
It could be the result of sometimes rushing to get homes completed and sold on timetable driven by profit reports.
Whatever the cause, it鈥檚 clear that the current system is not working as well as it should.
Now, I鈥檓 not na茂ve.
You鈥檙e building hundreds of thousands of complex structures, and you鈥檙e doing it outside in all weathers.
Some problems are inevitable.
Initiatives like the are doing much to raise standards, but mistakes will still happen.
To err is human.
What鈥檚 vital is that, when things do go wrong, those responsible admit there鈥檚 a problem and they get it fixed.
Right now, that doesn鈥檛 always happen.
Alongside the reports of faults with new-build homes I see almost as many stories about the problems people face in getting them rectified.
There鈥檚 the new estate in Rainham where residents have spent more than 2 years fighting to get faults fixed.
The man in Devon who has taken to staging protests outside the HQ of the company that built and sold him a home that鈥檚 suffering from damp.
The family who moved into a new home in South Wales and found more than 300 faults.
Just last weekend I read about a couple who were stuck in limbo due to an administrative error that meant their next-door neighbours owned half of their master bedroom.
The developers blamed their lawyers, their lawyers blamed the owners鈥 conveyancers and so on.
The one thing that everyone agreed on was that it wasn鈥檛 the fault of the owners.
But that didn鈥檛 make their lives any easier.
You already know that this is an issue, a real issue.
Stewart and the NHBC have recognised the need to do better, and are already following up on recommendations from the All Party Parliamentary Group, as we鈥檝e just heard.
But I鈥檓 not yet convinced that the industry can go far enough within the current framework, not least because the problems go well beyond the new-build industry.
The existing mechanisms of redress in the housing sector are confusing and they are uncoordinated.
There are 4 different redress providers that can officially deal with complaints: the Housing Ombudsman, the Property Ombudsman, Ombudsman Services: Property, and the Property Redress scheme.
Even this combination of overlapping schemes fails to provide full coverage of the potential issues that consumers might encounter.
Nor do they cover all parts of the market.
And there are also all kinds of issues and inconsistencies.
So, for example, membership of the Housing Ombudsman scheme is compulsory for all social landlords, but getting a case considered by the Ombudsman takes too long, and there are all kinds of barriers to doing so.
Sales, lettings and property managing agents have to be part of a redress scheme, but private landlords do not.
Abuse of the leasehold system is rife, yet leaseholders and tenants can find it almost impossible to get their complaints heard and acted on.
And the current system contains all manner of unjustifiable loopholes.
Just look at tenants living in properties, for example, that are owned by the National Trust.
Because their landlord is a charity, the only regulator they have recourse to is the Charity Commission.
Don鈥檛 get me wrong, I think the Commission is a great body, it does some fantastic, excellent work.
But housing is a hugely specialised area, well outside its usual remit.
And that means tenants of charities like the National Trust are ill-served by the situation as it stands.
Then, of course, there鈥檚 new build.
It鈥檚 clear the current redress system for buyers of new properties is not working properly.
There are a confusing number of schemes in place and gaps in protection, particularly where the buyer has a problem with their home in the first 2 years.
Regulation of the property market is not something we鈥檝e been ignoring.
Earlier this year I announced that we will be changing the law so that all landlords have to be covered by an ombudsman scheme鈥
鈥iving all tenants access to quick and easy dispute resolution over critical issues like repairs and maintenance.
We鈥檙e also going to be consulting on reforms of the leasehold market to tackle abuses there, and launching a call for evidence on regulation of property agents.
Now I believe the time is right to go further, to look at what can be done to improve the means of securing redress right across the housing sector.
One of the options to do that is to create a new Housing Ombudsman.
A single, transparent and accountable body with a remit that covers the whole of the housing sector 鈥 including both private and social landlords and the providers of new-build homes.
Research in other sectors has shown that redress works more efficiently for consumers when there鈥檚 a single ombudsman in place.
So, in the new year, we鈥檙e going to consult on this and see whether it鈥檚 right for the housing sector too.
Now, I鈥檝e talked a lot about raising standards on the technical side.
Making sure work is done properly, making sure homes are fit for purpose, making sure there鈥檚 redress when things go wrong.
But that鈥檚 not the only area of housing standards where I think there鈥檚 room for improvement.
There鈥檚 also the standard of design.
Because one thing that singles out architecture from other artistic endeavours is that it鈥檚 unavoidable.
If you don鈥檛 like a piece of music, you can just turn off your radio.
If you don鈥檛 like a particular painting or sculpture, you don鈥檛 have to visit the gallery in which it鈥檚 displayed.
But if the field across the road from your home is turned into 500 houses?
Well, like it or not, you鈥檙e going to have to look at them every morning when you open the curtains.
They鈥檙e not going anywhere.
That鈥檚 why the appearance of new homes, the aesthetic element, is not just important to students of design.
One of the reasons people move to communities, particularly in rural areas, is because they like the way they look.
Their unique character.
And one of the single best ways to guarantee that a community will rise up against plans for any kind of development is to try and impose row upon row of identikit red-roofed boxes.
Off-the-peg homes with no sense of setting.
Estates that, when you stand in the middle of them, could be anywhere from Cornwall to Cumbria.
To put it bluntly, ugly homes don鈥檛 get planning permission.
And nor should they.
Yes, we want to build more homes more quickly.
But that doesn鈥檛 have to mean ignoring the aesthetic or rejecting the local vernacular.
Quite the opposite, in fact.
If you want people to quickly accept new homes in their area, they have to be homes that local people don鈥檛 mind looking at.
They have to be homes that people want to live in, and homes that people want to live next door to.
I鈥檓 not going to stand here and tell you what good architecture looks like.
That鈥檚 not my job.
I鈥檓 not saying that every development should mirror Poundbury.
Nor am I saying that every new home should be fit for inclusion in the next series of Grand Designs.
Even Kevin McCloud would struggle to go round 300,000 sites each year!
All I鈥檓 saying is that engaging with the local community and giving them a greater influence over design will reap rewards for everyone, and it can work wonders in turning NIMBYs into YIMBYs!
The core of everything I鈥檓 saying today is that quality and quantity are not mutually exclusive.
We don鈥檛 have to choose between building more and building better 鈥 we can do both.
Nor should we be satisfied with simply meeting minimum standards.
They鈥檙e just that, the absolute minimum, the lowest level you can get away with reaching.
They鈥檙e not something to aim for, they鈥檙e something to exceed.
And that applies whether we鈥檙e talking about design or build quality or the way in which the industry responds when things go wrong.
Because when it comes to housing, 鈥済ood enough鈥 just isn鈥檛 good enough.
Our homes are our biggest financial investment, but they鈥檙e more than that.
They鈥檙e the places we invest our hopes and dreams, the places we live our lives.
We uproot our families and move across cities, across counties, across the whole country to find the right home for us.
That doesn鈥檛 happen in any other market, and that鈥檚 why it鈥檚 right that developers and builders are held to a higher standard.
There is some really great work going on out there, examples the whole industry should be proud of.
But, just as there鈥檚 a long way to go until we build enough homes, so we shouldn鈥檛 be patting ourselves on the back about quality of homes.
Much has been done and 鈥 thanks to organisations like the NHBC 鈥 much has been improved.
But as long as there is more to be done, as long as we can still find ways to do better, I鈥檒l be right here fighting to make that happen.
And I look forward to having you by my side to build not just more homes, but the very best homes.
Not just the homes this country needs, but the homes this country deserves.
Thank you.