BPF publishes roadmap for real estate’s role in Covid recovery

The British Property Federation has launched a Covid-19 “recovery roadmap”, outlining government policy suggestions that it says would support investment by the real estate industry and aid economic recovery. The trade body said its members across the investment and development markets plan to reduce their UK investment by £1.2bn in the 2020-2021 financial year. “Real estate investors are clearly concerned about the year ahead as they are impacted by Covid-19 and the government’s action to restrict their commercial rights, and as they divert resources to support their residential and commercial tenants,” said BPF chief executive Melanie Leech. “Any reduction in new development in our towns and cities will apply significant pressure on construction jobs and local economies.” The roadmap, Building a Shared Recovery, includes measures to help town centres such as a furloughed space grant scheme to help occupiers with fixed property costs; a temporary relaxation of Sunday trading hours; a temporary reduction or removal of stamp duty on high street property transactions; and business rate reform. In housing, the federation said government policy should include a temporary exemption for institutional investors in the build-to-rent market from the 3% stamp duty surcharge; new funding for social housing; and a national retrofitting programme. The BPF hopes the suggestions will be reflected in chancellor Rishi Sunak’s recovery measures revealed in July as well as the Autumn Statement. “The proposals in our Building a Shared Recovery plan should help to reassure investors of the government’s support for the real estate sector, and to enable the sector to maximise its role in supporting the UK’s future,” Leech said. “With the right policy framework, underpinned by a new sense of bravery and creativity to support us in overcoming the challenges ahead, we stand ready to work as supportive partners investing in people, property and places.” The BPF said sustainability is built into all of its suggestions in the roadmap. “We have not included a separate section on the environment,” its report noted. “In many ways our net zero obligations are so significant that it should be treated as a golden thread that is sewn throughout any recovery plan and many of our recommendations could have conditions attached that only allow access to support for buildings and organisations achieving specific environmental targets.”   To send feedback, e-mail tim.burke@egi.co.uk or tweet @_tim_burke or @estatesgazette