Small companies are being put off from house building because of the number of delays and rising costs. But small companies avoiding this sector means that the attempts to meet the housing demand in Britain is being slowed.

Research has been carried out by NHBC Foundation which suggests that some smaller builders are having to go through what is described as “deeply frustrating” delays on house building projects. The research uncovered that some builders are waiting more than a year just on local authority planning approval. These types of delays aren’t really sustainable for some small companies, so it could be easier to not venture in to that sector in future.

The research has also revealed that almost 80% of small builders were having to contend with a significant increase in the fees that are related to planning over the course of the last two years. The NHBC Foundation has published their data in a report in which the experiences of nearly 500 small companies that are usually involved in the construction of less than 10 homes each year.

This report emphasizes that the number of small companies that are involved in house building is still declining. The data showed that 12% of the market share are small companies in 2015. In 2008, the figures stood higher at 28% of the market share.

The Government made a pledge earlier this year that there would be radical and lasting reforms to tackle Britain’s housing shortage. These reforms include speeding up the planning system and making it more accessible as well as increasing the level of support for smaller and more innovative companies. The research that has been produced by the NHBC is important for highlighting the problems faced in the production of houses. Although the planning process is necessary to make sure that houses are built in a considerate and safe way, however the increasing cost and complexity of a vital process means that companies are steering clear of the market.