Self-builders could consider abandoned land if they receive incentives

They expect to receive an exemption from tax, VAT, or some other monetary benefit.

Individual self-builders would be more likely to consider brownfield sites if they were offered financial incentives as commercial developers, according to the latest research from the Ipswich Building Society.

The research revealed that 82% of self-builders would be more inclined to consider abandoned land if they were offered a tax break such as VAT exemption or other monetary benefits, such as an interest-free government loan to prepare the ground for construction.

Commercial developers are currently benefiting from incentives such as land remediation tax relief to make brownfield a more attractive proposition. Vacant land is defined as previously developed land, and as of April 2017, local authorities are required to maintain vacant land records to provide publicly available information on vacant land suitable for housing.

“It is an idea that has potential.”

The research also found that 31% of the self-builders were unaware of the abandoned land records, but once the concept was explained to them, nearly twice as many (61%) thought the records had the potential to help them find a suitable parcel in the future.

Richard Norrington, CEO of the Ipswich Building Society, said: “Finding a suitable site is one of the biggest challenges self-builders face, but on abandoned sites, there is a great opportunity for people who have an open mind and vision. In addition to there being strong social arguments for revitalizing these areas, particularly around city centers, there are also strong environmental reasons, as building on abandoned land not only renews the area itself but also reduces urban sprawl.”

“If the government is as serious about promoting homebuilding as it appears to be due to recent reforms and announcements, it should better promote brownfield land registrations and should offer individual self-employed builders parity with commercial developers in terms of economic incentives.”

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