Following the dip, the figure rose slightly over time and by 2008 2.9% of babies were born at home.
In 2015, 2.3% of babies were born at home and in 2016 it reduced slightly to 2.1%.
The last time the figure was at this level was in 2001.
There is currently a shortage of at least 3,500 midwives, according to the Royal College of Midwives.
The college’s Director of Midwifery, Louise Silverton, said: “We know many women are being denied this choice because of staffing shortages and resource issues, and this is not good enough.
“We need to ensure that those women who choose a home birth get the birth that they want.”