UK New Builds: £55,000 Hidden Costs in South

The Centre for Policy Studies (CPS), an influential thinktank, estimates that typical new build homes in the South of the UK contain hidden costs of around £55,000. This significant figure represents additional expenses that many buyers are reportedly unaware are built directly into the purchase price of their new property.

According to the thinktank’s analysis, housebuilders are passing on the extra costs they incur to meet specific regulatory requirements. These additional charges are primarily driven by the need to comply with affordable housing obligations and net zero targets.

The report highlights a lack of transparency regarding how these mandatory policy costs affect the final price of new developments. Buyers in the South face these elevated costs without clear visibility into the breakdown of the price they are paying for the property.