BMF welcomes Spring Statement’s housing boost

Builders merchants trade association, the Builders Merchants Federation has welcomed a £2bn boost for affordable housing announced yesterday (March 26) by Chancellor of the Exchequer, Rachel Reeves.

BMF CEO John Newcomb said: “We welcome the Chancellor’s announcement of £2bn funding for affordable homes as this is a measure we have previously advocated for as a key stimulus for construction.

“As a sector, we are already preparing to deliver government targets with businesses investing more than £860m to scale-up the manufacture and supply of materials to building sites, as well as key recruitment schemes to attract the right talent and skills into the building materials supply network.

“Our sector should be recognised as the lifeblood of the construction industry, with our members playing a vital role in ensuring components such as bricks, mortar, plasterboard and pipes arrive at building sites when needed.”

While the BMF welcomed the Chancellor’s investment in affordable housing, concerns remain over changes to Inheritance Tax, which could significantly impact private and family-owned businesses in its membership.

Newcomb added: “The aim of the Autumn Budget was to stimulate economic growth. Recent research from Family Business UK indicates changes to Business Property Relief and Agricultural Property Relief will result in more than 208,000 jobs being lost by the end of the Parliament.

“We have previously urged government to ensure these measures do not have the unintended consequence of wiping out what they were aiming to achieve and we’re disappointed that the Chancellor has not heard the concerns expressed by many businesses across construction and other industries about the impact of these measures.”