28 February 2024: In a bid to foster innovation within the UK’s property technology sector, Lee Rowley MP, Minister of State for Housing, Planning and Building Safety, Department for Levelling Up, Housing and Communities at the London PropTech Show 2024, unveiled the allocation of a £4 million investment to fund 37 new pilot projects, further expanding the reach and impact of proptech innovations across the country.

Rowley highlighted the UK's leading position in proptech across Europe, second only to the US, with a robust ecosystem boasting 900 firms offering diverse services and technologies. Foreseeing significant growth, Rowley projected a five-fold increase in the sector's size over the next decade, projecting its value to reach £70 billion by 2032.

The injection of funds will further fortify the Government's Proptech Innovation Fund, which has already facilitated numerous initiatives aimed at streamlining the planning process for new homes. Recognized by the Organisation for Economic Co-operation and Development (OECD) as a leading example of public sector innovation globally, the Proptech Innovation Fund has invested £9 million in 65 projects, collaborating with 47 local authorities and 24 proptech companies. The fund has been lauded for its effectiveness in driving innovation within the sector.

Distributed among various local authorities, this funding aims to address challenges posed by the UK's sluggish and bureaucratic planning system, which has long been criticised for hindering the construction of new homes.

The move underscores the UK Government's commitment to nurturing technological advancements within the property sector, ultimately aiming to accelerate the pace of home construction and meet the growing demand for housing across the nation.