Housebuilders are investing in modern methods of construction in order to try to boost the number of homes built, new research from Lloyds Bank reveals.
More than two thirds (68 per cent) of building firms say they are investing in modular housing, while more than half (56 per cent) are using panelised systems.
Around four in every five (82 per cent) building firms say they are more focused on innovation than ever before.
The shortage of skills is denting those efforts though.
A third of building firms (31 per cent) say there is a skills shortage at a national level, with more than a quarter (29 per cent) admitting they have struggled to recruit skilled workers in their region.
The Brexit process is exacerbating these shortages, according to building firms.
Half of respondents say it is making recruitment harder for specific roles, while more than one in four (26 per cent) say that access to labour from the EU is a key challenge for their business.
Building firms are increasingly looking to address this issue themselves.
Around 69 per cent are investing in staff training, while half (51 per cent) are setting up apprenticeship programmes.
Lloyds Bank regional director and national head of housebuilding David Cleary says the housebuilding industry “remains upbeat” despite issues which have weighed down the sector, such as Brexit.
He adds: “It is reassuring to see the sector confronting these challenges head on by investing and planning for business growth, prioritising staff training and looking at more innovative new building techniques.
“This has the potential to boost productivity and, more importantly, increase the pipeline of new homes that the nation badly needs.”
Legal & General Mortgage Club new build manager Craig Hall says that there is still some way to go to meet the Government’s target of 300,000 new homes a year.
He adds: “Even with the potential impact Brexit could have on the availability of skilled labour in the UK, the industry remains optimistic and is clearly prepared to tackle the issue head on.”
