About the submission
Submitted to: HM Treasury
Response submitted: 9 September 2026
Status: Response submitted
The Autumn Budget 2026 is an opportunity for the Government to support delivery of its ambitions for housing, energy-efficient homes, skills and consumer protection. The Federation of Master Builders (FMB) submitted evidence on the practical measures needed to help micro, small and medium-sized construction businesses contribute to these priorities.
Our response focuses on improving planning capacity and access to development finance, creating a stable market for home energy improvements, reducing the cost and administration of training, and designing proportionate consumer protection reforms. It argues that the challenge is no longer ambition – it is turning policy commitments into practical outcomes for local firms and households.
Why this matters
SME builders remain under pressure from rising costs, planning delays, restricted access to finance and persistent skills shortages. These pressures can delay projects, limit recruitment and make it harder for smaller firms to build homes, improve existing properties and invest in training.
Our evidence also shows why consumer confidence matters. Rogue traders cause financial loss and deter homeowners from commissioning improvement work, affecting consumers and reputable builders alike. Budget measures should therefore support competent firms while ensuring that new requirements are affordable, enforceable and proportionate.
What we are calling for
- Make planning work for smaller developers. Increase local authority planning capacity, consider dedicated SME planning officers and review unnecessary application requirements and other costs that undermine site viability.
- Open up development finance. Ensure government-backed schemes are genuinely accessible to smaller house builders and help them secure land, manage cashflow and bring forward viable sites.
- Create a lasting retrofit market. Simplify and extend VAT relief where housing improvements include energy-efficiency measures, provide long-term incentives for owner occupiers and ensure the Warm Homes Plan gives SME builders confidence to invest in skills and capacity.
- Help small employers train new entrants. Fund support services that reduce apprenticeship administration and financial risk, and establish a UK-wide network of Build Academies to help young people not in education, employment or training progress into construction jobs, apprenticeships or further training.
- Strengthen consumer protection proportionately. Assess the costs of proposed reforms before implementation, prioritise mediation before escalation to an Ombudsman, and introduce mandatory licensing for domestic building companies to set minimum competency standards.
We believe these reforms should help reputable SME builders grow, give consumers greater confidence and translate the Government’s ambitions into delivery on the ground.
Further information
Jeremy Gray
Head of External Affairs
jeremygray@fmb.org.uk
