Is the built environment sector ready to navigate the regulatory landscape and meet new building standards?

The construction and housing industries are at a watershed moment. With major regulations like the Building Safety Act (BSA), Awaab’s Law, the Future Homes Standard, and the Procurement Act coming into play, the sector has to adjust to a series of significant changes. These measures aim to improve safety, quality, and sustainability in building design and construction but also bring an added complexity to house building.

We recently held a roundtable with built environment leaders to pool their thoughts on how new regulations and legislation would impact the industry. We sought to find out if the industry is prepared for the challenges ahead.

In discussions with industry leaders, a mixed picture emerges. While the intentions behind these regulations are widely supported, the practicalities of implementation are proving complex. We explored the readiness of the sector, drawing on insights from the group’s mixed backgrounds.

A complex balancing act

For many, the challenge lies in reconciling competing priorities. Regulations such as the Building Safety Act and the Future Homes Standard require significant design and compliance work upfront. However, these demands are at odds with the industry’s financial realities, where the pressure to start construction quickly is ever-present.

Sanna Wennberg, Associate Partner at SimpsonHaugh, said:

“Achieving compliance with all the new regulations simultaneously is tough. Each regulation could, in theory, require its own design team. In practice, that’s not feasible, leaving architects concerned about shouldering all the responsibility. Architects aren’t yet experienced enough to check the engineers’ work, so additional people are required to check that the work complies with the BSA, resulting in additional cost.”

This sentiment is also echoed by the rest of the group more broadly, who feel a growing unease among architects and developers is emerging. Many fear that the additional administrative burden of new acts will stifle innovation and lead to more formulaic building designs, as firms focus on meeting standards rather than pushing creative boundaries.

 

Ben Lovedale, Associate Partner, Sheppard Robson, said:

“When developing the BSA and any future changes regulators must simulate how the rules will work in practice. By testing different scenarios, roadblocks will highlight themselves and save housebuilders from encountering them in reality. Our practice is having a positive time with the BSA and our technical team has been able to navigate the stipulations. We’re also able to support our clients through them too.”

While larger firms are able to have dedicated compliance teams and find it easier to adapt, smaller companies are at risk of being left behind as they do not have the same level of resources, raising concerns about uneven progress across the sector.

No precedent proving difficult for the industry

Adding to the complexity of navigating new rules is a lack of precedent. Many firms feel nervous about compliance, especially as there are few examples of projects that meet all the new standards.

 

“We’re in uncharted territory. There are few people who want to work forward on jobs without examples of how the BSA works in practice. Over time, we’ll have more examples to learn from, but for now, the uncertainty is palpable.”

said, Stephen Morris, Associate at 3DReid.

 

Pressures on design and delivery of new homes

The recent regulatory shift is impacting the pace of delivery. Housing targets remain high, with the Government aiming to build 300,000 homes annually to meet its 1.5 million new home five year target. However, the new rules are slowing down efforts as design teams grapple with increased paperwork and compliance checks.

 

“While we all know the Building Safety Act is a good thing just 14% of applications have actually been approved creating a considerable delay”, said Andrew Savege, Business Development Director at Wates Group.

 

“We must also question if the regulator can keep pace with the speed that the Government wants to move, and with the rate that applications are being submitted to Gateway 2 (GW2).”

 

“The new regulations around building safety and delays in getting approval for new buildings are slowing down housebuilding, as well as adding to costs. This makes it very difficult to see how the ambitions housing targets can be met. Regulation is vital for health, safety, and quality, but it inevitably slows down the process”

said the roundtable chair, Anna Clarke, Director of Policy and Public Affairs at The Housing Forum.

 

This tension is prevalent among developers who are facing delays due to planning bottlenecks and the increased scrutiny of designs under the Building Safety Act. While this scrutiny is essential for avoiding tragedies like Grenfell, the knock-on effect is a slower pace of construction. This must be addressed if the housing supply is to meet demand in the very near future.

 

“There is an element of risk associated with the time it takes for people to get up to speed with new legislations and making sure designs are up to standard. Projects will be put on hold due to this increasing risk factor. We as a collective must find a better way to deal with risk and uncertainty to stop projects being postponed”

said Kiran Shah, Architect at 3DReid.

 

Creativity under threat by compliance

Beyond logistics and administration of compliance, there is a concern from the group on the impact these changes will have on design. Meeting the new regulations often requires compromises that curb creativity. Instead of leading with bold, imaginative ideas, architects and developers find themselves constrained by what is practical and compliant, and can be delivered based on cost.

 

“The focus on compliance means that design is becoming less ambitious. While the regulations are necessary, it’s a shame to see creativity take a back seat. In time we will see designers work creatively around the rules but current time and cost pressures mean this flair is dampened,”

said Timothy Dunseath, Partner at Backman Dunseath.

Sanna Wennberg, also added:

“Emphasis on meeting checklists is overshadowing the broader vision of creating homes and buildings that inspire and elevate communities.”

 

 

Collaboration and innovation will lead to creativity

Despite these challenges, there is a sense of optimism that the industry can adapt and thrive. Collaboration and innovation will be critical. As firms gain more experience with the new standards, confidence is likely to grow. Additionally, advances in technology can help streamline processes and reduce the administrative burden.

 

“I would like to see the impact of the regulatory changes be better standardisation of building. For example, modular and off-site techniques can be used to make sure construction is compliant. By doing this, time lost in the initial design and compliance stages will be regained in the construction stage”

said Katie Cairns, Associate and head of sustainability at Assael Architecture.

 

However, support from the Government will be essential. By addressing the planning bottleneck, and providing resources for smaller firms, policymakers can work with industry stakeholders to ensure a smooth adjustment to the new regulations.

The Procurement Act challenge

The Procurement Act 2023 is another point of contention for many in the industry. Designed to ensure fairness and transparency in public sector procurement, it has created unexpected roadblocks in certain areas. Danielle Buckley, Regional Social Value Manager at Wates Group pointed out that in some regions, there are simply no firms available to provide the required services within the Act’s catchment area which is proving problematic.

 

“This issue needs urgent review,”

said: Danielle Buckley.

 

“While the intentions behind the Act are good, its practical application leaves much to be desired. Without sufficient support, the Act risks adding further delays to projects.”

 

Without support, smaller firms may struggle to compete, and regions with limited supplier options could face procurement bottlenecks. Danielle continued:

“Before blanket rules are implemented, we must make sure there are enough local firms providing a specific service and they are able to deliver what is required of them.”

To ease these challenges, the group suggests that the Act is revised to accommodate regional disparities and provide additional resources to support compliance rather than holding up the delivery of new homes.

Resolving the regulatory struggles

 

“The new regulatory landscape represents a significant step forward in improving safety, sustainability, and quality. But it also comes with challenges. Everyone in the industry has a part to play in ensuring compliance and creativity continue while not slowing down housing supply”,

said Anna Clarke.

 

 

“Regulations like the Building Safety Act and the Future Homes Standard are necessary, but they must be implemented thoughtfully. With the right approach, we can meet these challenges and deliver homes that are safe, sustainable, and inspiring,”

said Katie Cairns.

 

 

While it is likely to be a long journey, the long-term goal and achieving a better built environment for all is worth the effort and increases in safety and standard of living.

In the next blog post in the series from our industry leaders roundtable, will we look at how the industry plans to meet Net Zero targets and improve its decarbonisation efforts.

To find out more about our latest updates read our blog or follow our latest activity on Twitter, Facebook, TikTok, Instagram and YouTube.