Such headlines on this subject are not uncommon.

The prevailing thought amongst those not at the coal face of the house building industry is that house builders have hundreds of thousands of ‘plots’ under their control and therefore they must be storing all this land for future gain.

As recently as February 2017, when its Housing White Paper was published, the government was muttering about confiscating land from developers which built too slowly.

As a result, the term ‘land banking’ is associated with the assertion that house builders and developers deliberately hold back the development of land with planning permission for commercial reasons.

The criticism is that house builders and developers try to secure additional profit by holding onto land in order to speculate on land price increases.

The truth is of course somewhat more complicated than that.  Download the full article here

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