New build planning approvals have slumped to the lowest level since 2008, official figures show.

The total in England reveals the number of new homes with planning permission fell by more than 10% to 269,000 in the year to March.

Levelling Up Secretary Michael Gove relaxed planning targets for local councils last year, and this combined with environmental restrictions, are being seen as reasons why housebuilding has stalled.

There are fears that the yearly total of housebuilding could fall as low as 156,000, when the Government’s aim is to see 300,000 homes built each year, The Times reports.

Suspended

The figures from the Department for Levelling Up, Housing and Communities show that in the first quarter of this year local authorities granted 75,000 approvals, down 11 per cent from the same time last year.

A number of councils have suspended their targets ahead of a new system for new build targets.

Hammer

Matthew Pennycook, the shadow housing and planning minister, says: “Ministers can no longer deny the truth that their reckless decision late last year to overhaul national planning policy in the face of backbench pressure has set in train a collapse in planning consents and housebuilding that will deepen the housing crisis and hammer economic growth.”

Labour leader Sir Keir Starmer said Labour would allow building on green belt land by lifting planning restrictions in some areas.