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Housing was a much-anticipated point on the agenda, as Philip Hammond announced the budget for 2017. Following the earlier revelation of plans to build 300,000 new homes a year, many were keen to hear how this could be delivered, and some even took to Twitter to express their scepticism – given that this figure hasn’t peaked beyond 225,000 in the last decade.

Fragmented land will be assembled into “ready-to-go” sites for developers 

One of the most innovative propositions was the £1.1bn Land Assembly Fund, which will assemble fragmented pieces of land into “ready-to-go” sites for developers – and help to make good use of the less attractive pockets of land already available.  

This initiative will be supported by a variety of other measures including; a £1.5bn boost to the existing £3bn Home Building Fund for loans to SME housebuilders, a £630m of grant funding for remediation and infrastructure works on small and stalled sites, and a new consultation into speeding up the planning process. In a further move, housing associations will be reclassified as private bodies to allow their £70bn debt to be removed from the government's balance sheet and for more affordable homes to be built. 

Initiatives were also announced to help free up existing housing stock, including new legislation to give local authorities the power to charge a 100% council tax premium on empty properties – in a bid to encourage empty properties to be sold on and not left vacant when so many people need them.

Abolishing Stamp Duty would be a great help - if first-time buyers didn’t also need a large deposit 

While no one was expecting a “single magic bullet” to the housing crisis, one of the biggest surprises was the confirmation of the abolishment of Stamp Duty for first-time buyers. This is intended to benefit approximately 80% of first-time buyers purchasing properties worth up to £300,000 – as they will no longer need to find the additional funds needed to pay tax. This will also apply to the first £300,000 of the purchase price of properties up to £500,000.

This is a great idea in principle and would certainly be a boost to first-time buyers… If Stamp Duty was the only cost attached to buying their first home. The harsh reality is that the deposit is the biggest barrier to those hoping to get their foot on the property ladder – and the latest Budget announcement does little to change this.

With figures from the Office of National Statistics (ONS) confirming that the average deposit for a first-time buyer is £49,639, even a £5,000 Stamp Duty saving against a £300,000 property is a small consolation. 

This WILL be a boost to those “almost there” with saving their deposit

First-time buyers who are “almost there” with saving their deposit will benefit the most from this new initiative, as this decrease in the overall cost might encourage them to kick-start the house buying process a few months sooner than planned. 

It will also be a pleasant surprise for those due to complete in the next few days, who will be able to put that bit more towards furnishing their new homes. However, for those still faced with the mammoth task of raising the thousands of pounds needed to get their deposit together, the small discount is likely to do little to support their cause.

It is reassuring to see the housing crisis high on the government’s agenda 

Despite the mixed reviews, it is reassuring to see the housing crisis high on the government’s agenda and some new practical ideas for bringing positive change to the market in the immediate future – only time will tell how well these ideas will fare in the months ahead. 

Imagine being told that you only have 15 minutes to pack a bag and leave your family home. That’s the reality residents of Ripon, North Yorkshire, faced back in 2016 when a sinkhole opened up and swallowed their garages, outhouses and even their garden plants. All in all, 10 houses were evacuated and it took 46 months to rebuild their gardens – and their lives. 

That was just one of the many cases explored in the new 3-part TV documentary series “Sinkholes”, which aired this week on Channel 5, revealing the true extent of sinkhole devastation. Additional cases included yet another sinkhole (35ft deep!) in Ripon that had split a house in two, as well as a housing estate in Hemel Hempstead that had been evacuated when a sinkhole not only damaged houses and roads, but damaged pipes and threated a gas leak explosion! 

While these incidents are barely comprehendible, they are superseded by the devastation routinely experienced in Florida, where sinkholes have been known to swallow entire houses in less than 30 minutes – and even cost lives. 

The ground is simply dissolving beneath these homes 

So what is causing all of these problems? Although thousands of miles apart, Florida and Ripon have one thing in common : The ground beneath their homes is made of a substance that dissolves in acid rain. For Florida, this is Limestone. For Ripon, Gypsum. 

Over time, water trickles underground, dissolving the rock and creating caverns. When the weight above them gets too much, the ground collapses into the void creating holes on the surface that take anything and everything down with them. 

The fear of the unknown is what’s really keeping people awake at night

While these cases certainly make for scary reading, the fear of the unknown is even harder to live with – especially for residents of Ripon and Florida who know it is a question of ‘where’ and not ‘if’ another sinkhole will open up in their neighbourhood. 

Fortunately, The British Geological Survey are working extensively in areas such as Ripon to map a true picture of the land beneath the ground. Similar bodies in America are making good use of technology and data too, to help ensure that new houses won’t be built in areas of high risk.  

Terrafirma have also released new interactive mapping tools to make it easier for the general public and their conveyancers to see the full extent of the risks beneath their door steps – simply by adding in their postcode. 

You can try it here: 

Find out more about sinkholes 

To try Terrafirma’s full range of interactive tools and find out what’s going on beneath your doorstep, please visit : https://www.terrafirmasearch.co.uk/understand-the-ground/ 

You can also tune into the rest of the Channel 5 “Sinkholes” series on Mondays at 8pm : http://www.radiotimes.com/tv-programme/e/fzn9yf/sinkholes-buried-underground--s1-e1-sinkholes-buried-underground/  

With keynote speakers and panel members from LandSec, Savills, British Land and Shoosmiths, to name but a few, this year’s EG London Development Summit was a day rich in varied opinions and predictions in relation to the future landscape of London’s residential and commercial property market.  

This variety of opinion was abundantly clear when guest speakers looked ahead to the May 2018 local elections and the unknown future effects of Brexit. But all variety aside, one central topic was the striking recent growth in London’s residential market, and the question mark over how long it can continue for.

Katy Warrick, Head of London Residential Development Research at Savills, highlighted that in the last 10 years, London’s house prices have grown a staggering 70%.  When combined with the average London house deposit of £99K, against an average London wage of £35K, it’s no surprise that first time buyers are finding it increasingly difficult to get their foot on the all-important property ladder.

The national statistics speak for themselves. Across the UK, there are 28% more first time buyers than 3 years ago.  Comparatively, however, there are 13% less first time buyers in London in this same time period.

The reality is that the disparity between earnings and house prices in London continues to grow.  Deloitte recently had to buy properties in order to provide homes for some of their London staff, as residential property in the Capital was just too expensive.

But how long can this affordability chasm continue to grow for?  What struck me was that even professional forecasters, such as Noble Francis, Economic Director at Constructive Products Association, feel that due to the huge amount of variables, they are not able to predict beyond 2019.

With thanks to Charlotte Cripps, Key Account Manager at tmgroup

As our Risky Business Roadshow continues, Graham Reid, Legal Director at Reynolds Porter Chamberlain (RPC) explains why your firm needs to develop a framework for monitoring and scoring fraud risk:       

“Fraudsters spend a great deal of time selecting and watching their targets for hacking and Friday afternoon scams. If you want to beat them, your law firm should consider developing a framework for monitoring and scoring fraud risk on transactional work such as conveyancing. Done properly, this can trigger risk-responsive steps intended to safeguard client funds and reduce the chances of a claim on your PI cover. 

The framework could be as simple as a checklist or as complex as multi-branched flow-chart with risk scoring. Above all, what really matters is that you have a system for capturing the experience in your firm and distilling it into key risk lessons for all fee-earners.”

Join us for our Risky Business Roadshow to find out more

Graham Reid will be part of our guest speaker line-up at our Risky Business Roadshow events this November, which will explore how firms can better protect, prepare and promote their businesses. 

Click here to see our full list of dates and locations

As our Risky Business Roadshow continues, Sarah Percy from Shopper Anonymous explains why speed of response can make all the difference when clients are shopping around for their solicitor:

“Only 35% of law firms respond to a new client web enquiry within 4 hours. In the days of the millennial and “on the go” internet access, everyone is looking for an instant response. 

By waiting for more than 4 hours, you are handing the advantage to your competitors – and they could get in and create a great first impression before you!

Ensure you have a process that responds immediately to all new enquiries, ideally by phone to make it personal. This will also give you the opportunity to outline the benefits of choosing your firm over others.”

Join us for our Risky Business Roadshow to find out more

Sarah Percy will be part of our guest speaker line-up at our Risky Business Roadshow events this November, which will explore how firms can better protect, prepare and promote their businesses. 

Click here to see our full list of dates and locations

CLS have announced that they are making improvements to their policy wording for Search Insurance (TP60 / TP64), Planning and Building Regulations Insurance (TP51) and Sewer Indemnity Insurance (TP239). These changes will go live on Monday 13th November.  

See details below:

Search Insurance (TP60 / TP64) – Changes to online wording

What does this mean for you?

• Clearer Statements of Fact to show that the online policy covers re-mortgage 

• Changes to policy to allow not only official searches to be covered but also regulated searches

• Extended cover, same price  

Planning and/or Building Regulations (TP51) – Changes to online/offline wording

What does this mean for you?

• Extended cover, same price 

• Clearer, more refined Insured Risks to show that policy covers lack of building regulations approval and works that are carried out by a Competent Person Scheme where building regulations consent is not required but, where works are carried out by a Competent Person and a certificate is issued. i.e. inclusions to show installation of windows, boilers and electrics are covered.  

(a)         building regulations consent; and/or

(b)         building regulations regularisation certificate; and/or

(c)         Part L building regulations certification in respect of boiler installations; and/or

(d)         Part P building regulations certification in respect of electrical installations; and/or

(e)         FENSA certification.

Residential Sewer Indemnity (Build Over) Policy (TP239) – Offline to Online Change  

The Sewer Indemnity (Build Over) Policy for residential properties will be now available to order online, having previously only been available offline. 

The Sewer Indemnity insurance product provides cover where a property has been built over a sewer and the local authority and/or water company need to carry out repairs and maintenance to the sewer, causing damage or constriction to the property. 

The policy provides cover for any financial losses, covering; the lender, the current owners and successors in title for a period of 10 years. 

What does this mean for you?

• Easier to order the policy now it’s available online 

• Policy covers Successors in title for both the purchaser and lender  

• Period of Insurance from the Inception Date, and continuing for a period of 10 years

If you have any questions, please contact your Account Manager, or Helpdesk on 0844 249 9200 or email helpdesk@tmgroup.co.uk.

Hannover RE have replaced Acasta Europe Limited as the underwriter for Northcott Beaton’s Residential Abortive Transaction Insurance (RATI) cover as of 1st November 2017.

This change will be present on all Residential Abortive Transaction Insurance (RATI) policies ordered on tmconvey after 31st October 2017.

The new underwriter will provide virtually identical RATI cover at the current rate. The claims process and information they require to place cover will also remain unchanged.

The only noticeable difference will be the logo present on the documents you receive when you order your policy. 

If you have any questions, please contact your Account Manager, or Helpdesk on 0844 249 9200 or email helpdesk@tmgroup.co.uk.

Ahead of our Risky Business Roadshow, Clare Yates from tmgroup explains how setting aside just 30 minutes each day could make a big difference to your firm’s performance: 

“The property industry is constantly changing and it can be hard to keep track of what is going on – but have you ever wondered when being ‘too busy’ could become detrimental to your business?

Is it when we cannot deliver on our own service promises? Is it when we fail to respond to emails on the same day? Is it when we are ‘too busy’ to look for possible solutions to our problems?

So, here is the question. If I offered you 30 minutes of extra time every working day – what would you do with it?

• Would you ask your team how they are and what is going on?

• Would you spend just a minute or two more with each customer?

• Would you start conversations about solutions to being ‘too busy’?

Taking the time to reflect and find answers to these questions can help ensure your firm keeps moving forward – even when you are feeling ‘too busy’.”

Join us for our Risky Business Roadshow to find out more

Clare Yates will be part of our guest speaker line-up at our Risky Business Roadshow events this November, which will explore how firms can better protect, prepare and promote their businesses. 

Click here to see our full list of dates and locations

Ahead of our Risky Business Roadshow, Brett Warburton-Smith explains how a double glance at any link can help protect your firm from fraudsters:                  

“Think before you click on any link! Criminals typically use a cleverly worded email (often once they’ve browsed your LinkedIn or Facebook pages) which can look very convincing.  

Often the malware can be contained in a PDF document, so don’t open documents that are at all suspicious or you don’t know who they are from.  

Successful phishing emails are a highly effective way of allowing unauthorised access to your network. Educating your team not to click will remove the majority of the risk and therefore the consequences of a major incident.”

Join us for our Risky Business Roadshow to find out more

Brett Warburton-Smith will be part of our guest speaker line-up at our Risky Business Roadshow events this November, which will explore how firms can better protect, prepare and promote their businesses. 

Click here to see our full list of dates and locations

Ahead of our Risky Business Roadshow, Graeme McGowan from BeCyberSure explains why when one of your colleagues leaves your firm you need to make sure they leave physically and electronically:

“It is important to remove access and disable any accounts as soon as possible when one of your colleagues leaves your firm.

It is best practice for HR and employee managers to be in direct contact with IT so this can happen on your colleagues’ last day – and not 6 months after they have started their new job.”

Join us for our Risky Business Roadshow to find out more

Graeme McGowan will be part of our guest speaker line-up at our Risky Business Roadshow events this November, which will explore how firms can better protect, prepare and promote their businesses. 

Click here to see our full list of dates and locations