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In our latest podcast episode, we dive into the critical role of small and medium-sized enterprise (SME) developers in meeting the UK Government’s ambitious target of delivering 1.5 million homes by the end of this Parliament term.

Hosted by Ben Wakeling with special guest Paul Brocklehurst, Chairman for the Land, Planning and Development Federation (LPDF), they share insights from their careers and discuss the challenges and opportunities facing SME builders today.

What Is an SME Developer?

To set the scene, we define what constitutes an SME developer. Typically, these are firms building fewer than 100 homes per year, often locally rooted and agile, but facing unique constraints compared to larger housebuilders.

The Role of SMEs in Meeting Housing Targets

SMEs are vital to diversifying housing supply, revitalising local economies, and unlocking small sites that larger developers often overlook. We explore how their contribution is essential to achieving the Government’s 1.5 million homes target, and what success might look like for SMEs by the end of this Parliament.

Challenges Facing SME Developers

Our discussion then turns to the barriers SMEs face:

  • Planning and Regulatory Pressures: From high application costs to delays in determinations, SMEs often struggle with disproportionate burdens. Policies like Biodiversity Net Gain (BNG) and Building Safety Levy (BSL), while well-intentioned, can hit smaller developers hardest. We ask: how can smarter regulation better support SMEs?
  • Financial Constraints: With limited cash flow and reduced ability to absorb shocks, SMEs are vulnerable to rising costs and falling profits. We examine how financial pressures are shaping their ability to deliver homes.
  • Labour Shortages: A lack of skilled workers and insufficient new recruits pose serious challenges. How can SMEs meet new demands, like sustainability and safety standards, when they’re already stretched thin?

Government Initiatives: Will They Help?

We acknowledge and delve into recent policy changes aimed at supporting SMEs, including:

  • Delegation of small applications to planning officers
  • Introduction of a ‘medium’ site category (10 – 49 units)
  • Streamlining of BNG requirements
  • Reviewing statutory consultee processes
  • Potential BSL exemptions for developments under 49 homes

Both Ben and Paul share their views on whether these initiatives will make a meaningful difference.

Unlocking Land and Delivery: What More Is Needed?

Finally, we explore what else could help SMEs not only survive but thrive:

  • More realistic client expectations around programme and delivery
  • Further planning reforms to reduce complexity and cost
  • Better access to finance and skilled labour
  • Smarter, proportionate regulation that reflects the realities of SME development

🎧 Listen Now!

This episode is a must-listen for anyone interested in housing policy, urban development, or the future of SME builders in the UK. Whether you’re a developer, policymaker, or housing advocate, you’ll find plenty of food for thought.

Stay tuned for future podcast episodes!

Team members on the podcast

Head of Cost and Commercial

Ben Wakeling

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