1. The Review and A New Agenda for Homebuilding
John Callcutt Chair
Review of Housebuilding Delivery

2. The Review and A New Agenda for Homebuilding
Terms of the Review:
How the supply of new homes is influenced by
The nature and structure of the house building industry
The supply chain
Skills
How these factors influence the delivery of new homes to achieve the Governments target
200,000 new homes p.a.
Meeting requirements and aspirations
High standards of energy efficiency
Progressing to zero carbon

3. The Review and A New Agenda for Homebuilding
The review will cover but is not limited to
Full descriptive of the industry
The extent to which the industry meets market need
Identifying failures and means by which they can be addressed
Opportunities and constraints for new entrants
Full analysis of the prevailing business model
Ability of the industry to increase supply
The acquisition, holding and disposal of land
Whether the supply chain is a constraint on future production
Future need for skills
Zero carbon

4. The Review and A New Agenda for Homebuilding
Increasing competition
Commercial developers
Contractors
Strategic land developers
Housing Associations
Land owners
Institutions
Overseas entrants

5. The Review and A New Agenda for Homebuilding
A new look at some areas of competitive strategy
Bridging the affordability gap with
Intermediate tenure
Open market rental
Long term asset growth – investing in recovery
Cost effective quality
Creating viabilities in marginal or low value areas
Risk, return and growth criteria in share valuation
Cost effective delivery of energy efficiency
Integration with the refurbishment of the existing stock

6. The Review and Zero Carbon
Unique approach by Govt
Agreed timetable
Clear statement of requirements
CSH Level
CSH Level
CSH Level Zero Carbon
Willingness to work with industry – Task Group
Demarcation between Planning and Bldg Regs
Fiscal incentives
Stamp Duty exemption on zero carbon
Budget rumours!

7. The Review and Zero Carbon
On the industry side those affected will be
House builders and other producers
Supply chain and professionals
Land owners
Central generators and providers of renewable generation capability
Other utilities
Some key questions
Is it possible or feasible
What happens on small projects
Are current technologies and products adequate
Are on site renewables really effective
Where will the Biomass come from and will it burn “zero carbon”
Can prospective technologies meet the CSH 4-6 gap in 10 years
What is the role of central generation and its business strategy
How does this key in with strategic objectives eg gas imports / nuclear

8. The Review and Zero Carbon
Impacts will be huge
Most cost effective solutions will determine land competitiveness
Developers have to assess cost benefits of alternative solutions
Supply chain will compete to deliver most cost effective products
Incentives to cheat v. high, effective regulation will be critical
Some potential challenges
Unrealistic or unproven claims to shorten timescales creates a free for all
Industry don’t believe Govt is serious
Failure to regulate either performance standards or products
Planning refuses renewable generation plant / infrastructure
Govt delivers consistent message as landowner eg Carbon Challenge
Consumer resistance or
Global warming from emissions disproved / Earth cools down

9. The Review and Zero Carbon
Timetable and announcement
Allows industry to develop out of current fixed price stock
Prevents a free for all on standards
Gives LA’s that deliver on supply the right to raise the bar
Gives time to change business processes
Assured levels of demand will create economies of scale
Role of review to help
Understand the key commercial drivers for all stakeholders
Confirm the targets are do-able in commercial terms
Help remove or mitigate some barriers to delivery eg skills
Achieve on other objectives ie Quality / Social / Economic
Maintain a strong domestic development and supply chain
Help reconcile new build with wider objectives eg
Retrofit on existing stock
Wider environmental objectives

10. Call for evidence www. callcuttreview. co
Call for evidence or give me your business card