New home registrations fell for the second consecutive quarter as developers responded to higher costs, affordability pressures and continued economic uncertainty, according to the latest figures from the National House Building Council (NHBC).
A total of 29,162 new homes were registered during the second quarter of 2026, down 4% from 30,259 in the same period last year.
Private sector registrations saw the largest decline, falling 5% to 19,045 homes compared with 20,097 a year earlier. By contrast, activity in the rental and affordable housing sector remained broadly stable, with 10,117 homes registered, compared with 10,162 in the second quarter of 2025.
Regional performance was mixed. Six of the UK's 12 regions recorded fewer registrations than a year earlier, with the steepest falls in the South West (-42%), East Midlands (-36%) and Wales (-34%). London recorded the strongest growth, with registrations increasing by 170%, followed by the North West (+37%), East of England (+15%), South East (+12%), West Midlands (+7%) and Scotland (+6%).
Daniel Pearce, Chief Strategy Officer at NHBC, said: "Elevated interest rates, geopolitical volatility and rising costs combined with affordability pressures impacting consumer demand, meant that many house builders slowed their build programmes in the second quarter.
"While the decline in new home registrations will come as little surprise, we welcome the commitment from new Prime Minister Andy Burnham to roll out the most ambitious council house-building programme since the post-war era. Accelerating planning reform and easing regulatory burdens would also help boost housing supply, while measures to improve affordability for prospective buyers are essential to unlocking demand."
Commenting on London's performance, Pearce said registration volumes in the capital are often more volatile because large, high-density developments are typically registered over short periods rather than evenly throughout the year. He added that the next two quarters of data would provide a clearer indication of whether the increase represents a sustained recovery.
