There has been a mixed industry response to the Cabinet reshuffle.
Short term lender Kuflink Bridging argues that the expansion of Sajid Javid’s existing brief to include Housing as well as Communities and Local Government, signals a sea change in the way that successive governments have regarded the property market and the issues surrounding the lack of new home provision.
Its CEO, Narinder Khattoare, said: I am excited that at last, housing, and by extension the property market, is going to be represented at Cabinet level for the first time, certainly in this century.
“The Chancellor’s commitment to house building last Autumn will carry more weight now that we have a senior minister with housing in his brief. Housing has been like the unwanted lovechild, shuffled from one second tier minister to another. I had been worried that with the government’s increasing focus on Brexit, the Chancellor’s promises would have as little chance of seeing a proper outcome as many of his predecessors’ did.
“However, Mr Javid has a real opportunity to put flesh on the bones of the Chancellor’s Budget promises. Consequently, over time the requirement for cashflow finance can only increase for businesses allied to the building trade. The next two years should be very positive for the bridging market.”
Brian Berry, chief executive of the Federation of Master Builders (FMB), said: “The inclusion of the word ‘housing’ sends a clear signal as to the importance the Government places on housing policy by the renaming of the Department and the Secretary of State’s title.
“However, actions always speak louder than words which is why it is vital that we also see continuity, application and a continued willingness to be bold where necessary in housing policy. We want to see continuity in terms of building on a set of good policies to unleash the capacity of the SME house building sector set out in the Housing White Paper; application in terms of effective implementation; and a willingness to still be bold where Government intervention is still called for.”
Meanwhile, a lawyer specialising in housing has expressed concern following the announcement that Alok Sharma is to be replaced by Dominic Raab as Housing Minister.
Tim Miles, a partner in the Social Housing team at national law firm Clarke Willmott LLP, says the lack of continuity will have a detrimental effect on the whole of the housing sector.
He said: “It is extremely disappointing that we will now have our fourteenth Housing Minister since June 2001, with the previous incumbent Alok Sharma now departing having held the position for less than seven months. This now makes the average life expectancy of a Housing Minister less than one year and three months.
“The removal of Mr Sharma is further disappointing given that his limited time in post involved a very welcome change in engaging social tenants so they have a voice.
“The lack of continuity in this crucial post-Grenfell era is a missed opportunity and raises further questions about the Government’s commitment to the forthcoming publication of the green paper on social housing.
“It remains to be seen whether Sajid Javid will take more of a direct role in the day to day of housing to reflect the change of his Secretary of State title yesterday.
“The housing sector is once again collectively experiencing yet another déjà vu moment and will need to build a relationship with their third new Housing Minister in less than 18 months.”