A new report from Savills has indicated that modern methods of construction (MMC) will be less disruptive to the construction industry than first expected. It is anticipated that political and environmental factors will play a bigger role in shaping the housing market in the future.
The report went on to say that the political pressure to build quickly and meet an increasing list of needs will form the government’s housing policies in the future. At this point, with the election approaching, it is a challenge to predict how this will evolve, since the major parties have very different approaches.
The disruptor that is likely to have the biggest impact on the housing industry in the future is the one area that is the least talked about amongst developers and that is environmental concerns.
The government is under increasing pressure to meet its carbon emission targets. With increasing public interest in the climate crisis, more environmental building regulations look to be inevitable. As a result, it makes little sense building homes that will become outdated and unsuitable in the future.
To summarise, whilst MMCs have dominated the conversation amongst developers, their attention should really shift towards events occurring outside of the real estate world. hashtag#construction