Research from the Home Builders’ Federation (HBF) suggests the number of affordable houses built is set to drop, as big builders pause projects and weather the storm by buying up land banks for future development.

Chief executive Stewart Bazeley, who has led the direct communications with the Government, says the time has come for other parties to pay for repairs.

“By negotiating and signing the pledge and agreeing to the £3bn Residential Property Tax the industry has more than demonstrated its commitment to the principle of polluter pays.

“Along with the House of Commons Select Committee, we have asked the Government to explain the basis of its £4bn figure which has been derived via a desktop exercise. To date, we have had no response, but it is not a figure we can reconcile.”

“With UK house builders now committed to paying at least twice already, it is our strong assertion that other parties – including material manufacturers, building owners, other residential developers, foreign developers and their UK based contractors – are asked to make contributions before the Government makes further demands on UK house builders to fix buildings with which we had absolutely no involvement. If ministers are genuinely interested in the ‘polluter pays’ principle then that seems fair.”

Red Wall MPs are also likely to face intense lobbying for housebuilders, with many of the recently elected group of Tories beating Labour opponents due to the availability of cheap, high quality housing in northern and midland suburbs. 

“Michael Gove knows this is a sticky wicket”, says one industry source “In a recent roundtable with chief executives, he had his tail between his legs following his cartel comments.”

Gove had been chastised in a letter from the industry over comments labelling developers a “cartel”, initially reported by The Telegraph. 

Since the initial policy was announced in January, his private role in talks have lessened. Junior ministers and civil servants have taken his place, including Lord Greenhalgh and Ben Llewellyn, the deputy director responsible for housing strategy at the Department of Levelling Up. 

In spite of hostilities, the housing industry has praised Llewellyn and other civil servants for professionalism and attention to detail in what have been tough negotiations. Lord Greenhalgh’s liaison with cladding activists to find legislation-led solutions, meanwhile, has also been commended. 

The central role of Llewellyn is seen as so critical that his absence via holiday signalled to some housebuilders a hiatus in negotiations, following the signing of pledges. 

With pledges signed and a pause called, whether Gove targets fire on alternate businesses implicated in the crisis will determine whether key industry figures will speak out publicly against him – or if private sabre rattling will continue for months ahead.