UKREiiF 2025: Shaping the future for SME housebuilders

Supporting SME Housebuilders: Key Insights from Our UKREiiF 2025 Panel Discussion

As part of this year’s UKREiiF event in Leeds, we co-hosted a panel event with leading UK law firm Birketts LLP, exploring the pressing challenges and emerging opportunities for SME housebuilders across the UK property market.

Chaired by our Managing Director, Daniel Joyce, the panel brought together expert voices from across the sector, including Sean Ellis (Fernham Homes), Chris Thompson (Citu), Nicola Curle (Birketts), and Nick Fenton (Kent Housing Group). The conversation covered a range of critical topics: from planning and policy reform to housing delivery, land access, and funding.

Here are five key takeaways from the session:

1. Planning policy intent is positive, but the practice isn’t keeping up

There is growing optimism around proposed updates to the National Planning Policy Framework (NPPF) and new policies such as the “greybelt” reforms. However, speakers were unanimous: these ambitions haven’t yet translated into real-world planning outcomes.

Sean Ellis noted that many SME developers are still grappling with slow, inconsistent decision-making, despite talk of reform. For smaller firms operating with tighter margins, cash flow and speed of approval remain critical pain points, “it’s a fantastic start, but we haven’t seen the changes filter through. The biggest challenge is cash flow, we need immediate funding and visible policy action.”

2. The planning process remains complex and inconsistent

Planning remains a key obstacle for SME developers, particularly for brownfield and medium-density sites, which are essential for sustainable housing growth but are often the hardest to unlock.

Chris Thompson highlighted that technical detail and inconsistent interpretation of planning rules can stall projects for years; “Planning is a brutal process on both sides. Some minor technical details have taken us three years to resolve.”

Even with positive officer engagement, Nicola Curle added, planning refusals can still occur at the final stage, putting early-stage investment and SME business models at risk.

3. Under-resourced planning teams are slowing delivery

Another recurring theme was the lack of resourcing within Local Planning Authorities (LPAs). SME developers depend on local knowledge, relationships, and fast turnaround times, but chronic staff shortages and inconsistent policy interpretation are causing delays.

The panel supported proposals for ring-fenced planning budgets and stronger public-private collaboration to plug short-term gaps while longer-term structural reform takes hold. “There’s a disconnect with local communities. We need trust, early engagement, and yes, the private sector should help fill that resource gap", added Sean Ellis

Data from Planning Portal shows a growing volume of submissions in Q1 2025, further straining LPA capacity just as demand ramps up.

4. SME developers need confidence, certainty, and sales demand

For SMEs, the viability of a project depends on more than just planning approval, they also need confidence in consumer demand and sales pipelines.

Nicola Curle stressed that small and large developers face similar regulatory burdens, but SMEs lack the deep pockets to absorb long-term delays or shifts in buyer confidence; “We need government intervention to help stimulate market confidence, and we need planning certainty to match.”

5. It’s not just about quantity - quality and sustainability matter

While national targets focus on volume, the panel called for greater emphasis on sustainability, placemaking, and community value.

Chris Thompson urged the sector to design and deliver homes that reflect long-term energy, carbon, and design priorities—starting from day one, “We’re not just building homes, we’re shaping sustainable communities.”

There was broad agreement that better design review processes, clear technical standards, and smarter planning frameworks can help raise the bar without adding delay.

The takeaway: SMEs need more than policy promises

It’s clear from this discussion that while recent policy developments are promising, practical barriers continue to hold back SME housebuilders. From resourcing issues in local planning to inconsistent application of policy, land constraints, and funding challenges, these hurdles require urgent attention.

At a time when 94% of SME developers are calling for targeted support, this panel made a powerful case for more joined-up thinking across government, local authorities, and the private sector.

SME developers are agile, locally focused, and committed to high-quality delivery. With the right support in place from planning certainty to financial flexibility they are well positioned to drive the UK’s housing future.

Watch a video from the event here:-