New home starts fall 13% across Britain while the housebuilding watchdog warns the industry is at a 'critical point'

The rental and affordable sector took the biggest hit, with registrations collapsing 23% to 7,872 from 10,225 a year earlier. The National House Building Council logged just 26,231 new homes in the third quarter, down from 30,279. Daniel Pearce, its chief strategy officer, said demand 'remains fragile' and affordability is 'stretched'. He warned that boosting supply will stay 'extremely challenging' without action.

Private sector registrations fell 8% to 18,359, compared with 20,054 last year.

The Government's 'Your First Home' scheme offers first-time buyers new builds with a 2.5% deposit.

Pearce: 'The pipeline of new homes is continuing to shrink.'