Labour's 'ambitious yet honest' plans leave housing delivery questions unanswered

The Rt Hon. Sir Kier Starmer, MP, announced his Plan for Change: Milestones for mission-led government in a high-profile, tone-setting speech on 5 December 2024. Drawing attention to the fact that housing starts and permissions are at their lowest for a decade, the Prime Minister insisted that the housing crisis will not be solved without approving controversial developments. However, with no new detail about how the targets will be achieved, the housing sector is left guessing.

Politician wearing red rosette

The base-camp aspiration of homeownership

Starmer recommitted to building 1.5 million homes in England by 2030, a target which has drawn criticism for being unrealistic. At a constant annual rate, that equates to 300,000 per year, however, the most recent official data shows that 221,070 net additional dwellings were delivered in 2023-24, a decline of 6% on the previous year.

The UK Government is reinstating mandatory housing targets for local councils and reforming planning laws to try to accelerate building, but the lack of affordability of new housing, which has put off many buyers and deterred private developers from investing, raises doubts about how effective this will be.

Propertymark has called for local authorities to have the flexibility to address the need for different types of housing, link affordability to local incomes, and account for the impact on local infrastructure. We support the idea of national policy setting a minimum scale for development, but this minimum must remain adaptable to local demand and housing needs.

Builder in field with development plans
07 Oct 2024
Key barriers to new home delivery missed in plans for reform

Practical measures to ensure local demand is properly considered and a realistic approach to incentives for developers and landowners are key issues Propertymark members highlighted in the Ministry for Housing, Communities and Local Government (MHCLG) National Planning Policy Framework (NPPF) consultation.

An end to planning ‘nonsense’

Lamenting that the UK infrastructure has not kept pace with modern times, giving the example that no reservoir has been built in 40 years, Starmer highlighted blockages in the planning system that are stopping the country from building roads, grid connections and more.

This echoes the UK Government’s ongoing planning system overhaul, which will result in every area having a 5-year pipeline of land to be developed for housing, including a review of the green belt to identify areas of brownfield and ‘grey belt’ land.

Long-term planning, when housing is often very politicised, is difficult. Propertymark has recommended that the Ministry for Housing, Communities and Local Government introduce an independent, non-governmental body to establish a long-term planning strategy, with commitments from the Ministry to take on board any report produced by the body into account.

New build properties with scaffolding around them
25 Oct 2024
Councils call for greater support to deliver affordable and decent homes

The Local Government Association (LGA) submission to the Ministry of Housing, Communities and Local Government (MHCLG) consultation on proposed reforms to the National Planning Policy Framework and other changes to the planning system has been released. It urges the UK Government to collaborate more closely with local councils, to improve and increase the delivery of affordable and social housing and calls for the necessary resources and powers to ensure the successful delivery of local housing plans.