Slump in Welsh house building
Thursday, 12 Jun 2008 09:15
New-build homes, Cardiff, Wales
During the quarter to March there were 1,816 new dwellings started in Wales, according to the Office for National Statistics.
The number of new-build homes started has decreased by 1,011 (36 per cent) from the previous quarter, and by 273 (13 per cent) from the same quarter of the previous year.
As property prices have slowed in the region, thus the incentive for construction has been muted.
Research from the Department for Communities and Local Government (CLG) illustrates annual house price inflation in Wales fell to just 2.9 per cent in April.
This is down from a peak of 10.7 per cent in February 2007, and well below the UK average of 4.9 per cent.
The private sector accounted for 1,781 of new dwellings started in Wales during the quarter - some 98 per cent of all activity.
The remaining 35 dwellings were started by registered social landlords, with no involvement for local authority starts.
Over the period the highest number of starts was recorded in Cardiff and Carmarthenshire while the Vale of Glamorgan and Blaenau Gwent saw the lowest number of starts.
The average property in Wales now costs £164,994, according to CLG data.
Some 1,820 dwellings were completed over the three months, again down 20 per cent from the previous quarter, and 32 per cent from the same period of 2007.
Chris O'Toole