A message is coming out from the States that some private developers are holding on to land to roll up profits rather than build houses to help the community.

The government is grappling with what it has described as a housing crisis, taking steps to solve it including setting up a dedicated housing committee, revising planning guidance to free up more sites, and dropping affordable housing requirements from major developments.

But both Policy & Resources President, Deputy Lyndon Trott and Development & Planning Authority President, Deputy Victoria Oliver believe some developers are land banking.

“I think that some developers probably do land bank, yes,” said Deputy Oliver.

Deputy Victoria Oliver.

“And to be completely frank with you, we’ve had conversations with a lot of developers, and we have been saying how it is. We can’t make people build. That is not my department. We are looking at the land supply and how land is used, and that is our job. We are making sure we do our job. We’re also in communication with other committees whose job that is and we’re working closely together.”

Environment & Infrastructure is involved in a round of talks to find out why housing sites that could be built on now are not going ahead.

At the January States meeting Deputy Trott had argued that it was not decisions made by the States in 2024 that had frustrated developer behaviours but other fiscal matters.

“It is an investment decision. So they keep coming back to the States, ask for more and more help from the States,” he said.

“Hundreds of permissions not being acted on because the investors do not see an adequate return on their capital.”

President of Policy and Resources, Deputy Lyndon Trott.

The States has moved to buy up sites this term for Affordable Housing.

“We were right to buy the sites we brought,” said Deputy Trott.

“Why? Because we’re seeing in the industry an element of land banking, we are seeing behaviours we would prefer not to see.

“We’re not seeing behaviours that are conducive to the long term best interests of this community. I’m all for someone taking profit, but I think valuations need to be realistic.”