The Federation of Master Builders (FMB) is asking for easier access to finance for small and medium sized building firms.
This is seen as vital if the government wants the rate at which new homes are built to be sped up to meet the increasing demand for new homes in the UK. If SMEs connected with the construction industry were better funded they could potentially build 20,000 more new homes every year.
The FMB called for better access to finance in its budget statement. Their members told them that a lack of funds was the primary issue stopping them from growing and building more new homes.
The Chief Executive of the Federation of Master Builders, Brian Berry explained more in a press release:
“Conservative Ministers have been incredibly successful in improving access to mortgage finance and reviving demand in the housing market, but access to finance for those in the business of supplying new homes has remained extremely difficult.”
The organisation has also asked the government to make the building of new homes an infrastructure priority, as well as seeing the VAT charged on house renovations reduced from 20% to 5%. One thing is certain however, finance is definitely the issue that is putting a break on development and growth for many building firms.
At DJB, we provide a range of easy to access financial products, which all kinds of firms, including builders, can take advantage of. To get advice and access to our asset financing and equipment finance solutions all you need to do is get in touch.