Construction Products Association chairman Bill Bolsover has told more than 80 MPs and construction industry leaders how the government should kick start the recovery with a construction stimulus programme.
Mr Bolsover told the House of Commons meeting that current and capital spending should be rebalanced to free up £5bn for essential infrastructure investment.
He also suggested some kind of mortgage indemnity guarantee scheme or government-backed saving scheme for first-time buyers in order to stimulate the new housing market.
Mr Bolsover said more was needed to support the proposed Green Deal programme, such as ensuring all Green Deal compliant home improvement measures paid only 5% VAT.
Meanwhile, the Federation of Master Builders has called on the government to stick to its intended reforms of the planning system.
“The government’s planning reform proposals strike the right balance between economic growth and environmental protection,” it said.
“The presumption in favour of sustainable development is certainly needed if Britain is to have the homes and infrastructure that it requires. It has been unfortunate that the planning proposals have been subject to scaremongering and misinformation which has not been helpful.”
