LACK of land is the biggest barrier to SMEs delivering more new homes.

According to research from the Federation of Master Builders (FMB), two thirds of SME house builders struggle to identify land for development.

Half of SMEs surveyed by the FMB regard the planning system and difficulties accessing finance as other serious challenges to housebuilding.

The construction skills crisis was cited by 40 per cent of the SMEs as a barrier to building more homes.

Brian Berry, CEO of the FMB, said: “The biggest challenge facing SME house builders is the planning process. Councils need to find a way of allocating and granting planning permission for more small sites.”