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Brownfield first doesn’t mean ‘brownfield only’

CLES / Newstart - 9 July, 2024 - 10:10

Labour’s plans to build on brownfield sites will now become reality following their landslide election win. However, Nick Taylor from Carter Jonas explains the party should stay clear of putting all their eggs in one basket.

Image: Nick Taylor

Albert Einstein famously said the definition of insanity is doing the same thing repeatedly but expecting different results. In respect of the approach to housing development in Britain, a phrase has never seemed more apt. The policy ambition that we should prioritise the development of brownfield sites over greenfield has challenged everyone involved in this process, delivery has become slower and more politically toxic and, most importantly, caused serious social stress.

Alongside a crisis of housebuilding delivery is an even greater issue in the delivery of affordable housing, thereby exacerbating social problems in an increasingly unequal society.

So what needs to be done?

A potted history of the evolution of this policy takes us back to the 1990s and the proposition that 60% of all new homes should be built on brownfield land. In 2000 Planning Policy Guidance Note 3 (PPG3) enshrined the sequential approach of selecting brownfield sites over greenfield. This was, and remains, a laudable ambition which made sense, but it had unintended consequences. Within three years it was clearly failing: the Barker Review of Housing Supply Interim Report (2003) highlighted in relation to PPG3 that, ‘It is not the intention of the policy to restrict land supply…some local authorities appear to have overinterpreted it to the detriment of housing being delivered.’

Subsequently the target was removed, but the ambition lives on in the NPPF (2023) which states that, ‘Strategic policies should set out a clear strategy for accommodating objectively assessed needs, in a way that makes as much use as possible of previously developed or ‘brownfield’ land.’

Although, superficially, it might be hard to reach any conclusion other than that nothing has changed over the last 20 years, I believe that the situation has worsened, and we need to revisit the resistance to greenfield housing. Why? Because of the failure for planning policy today to incorporate the fundamental principle that the planning system should be plan-led. Without up-to-date plans and a commitment to plan-making by all local planning authorities, the system is doomed to fail. This has been a failure of all governments – that is not a dig at any particular political party – although it is fair to say that matters have clearly taken a turn for the worse in the last few years. All the evidence shows housing delivery is stalling and the focus needs to be reset, with greenfield housing development integral to delivery.

The general increased opposition to greenfield housing development has likewise intensified with disastrous consequences for housing delivery and in particular, the delivery of affordable housing. I believe a number of factors are at play here.

First, NIMBYism generally is a contributing factor and second, valid opposition to urban extensions on greenfield land that are not seen to be paying their way as a result of late or under-delivery of social, community and physical infrastructure.

Next, a naïve understanding of the economics of brownfield housing development, that it is always viable and that building flats, often at high rise, supplies the homes that we need. It won’t and it doesn’t.

In addition, the assumption that there is enough brownfield land. The annual target housebuilding target is supposedly 300,000 homes, but even with the greatest optimism, the most that we can deliver on brownfield land is around 90,000 homes per year. This leaves a requirement for 210,000 homes from greenfield and other sources.

So why can’t we have more on brownfield sites, in particular affordable housing? This is due to the lack of funding for public housing and the requirement for developers to deliver this despite the relatively enormous (and increasing) costs of delivering on brownfield sites, CIL and Section 106 costs, and Vacant Building Credits – all of which almost always (and inevitably) suppress the delivery of social / affordable housing.

Aside from all this, what policy changes need to be made to address the complex challenge that was first identified back in 2003, if we are to increase housing delivery?

In my opinion, there are four policy changes that would make a difference. These must come from the top-down because bottom-up has proven to be too big an ask as a means of delivering substantial numbers of new homes.

First, it will be interesting to see whether the NPPF proposal to allow land to be bought at existing use value for schemes delivering large levels of affordable housing has any effect. There are so many questions on this, but my hunch is it will be slow and not many will be delivered – but it might be worth a try.

Second, the NPPF has to be changed back to allowing for reviews of Green Belt boundaries as part of plan-making. Should Labour win the general election, there is potentially good news on this, as it looks as though a Labour government will implement this early on. There will be an inevitable lag but if the political commentators are right and Labour is in power for at least a single term, this could make a real difference to supply.

Third, it is necessary to set the dates for local plan reviews and stick to them. The current stick/carrot approach is a planning free-for-all because unmet deadlines simply become Groundhog days which persist indefinitely. Whatever this mechanism is, must force local planning authorities to bring forward development plans or allow automatic consents.

Fourth and finally, we need a more nuanced approach to the respective roles of greenfield and brownfield land in housing supply. Local authorities must be encouraged to use brownfield if they can, but if greenfield is the best way forward, they should be allowed to pursue this option within a policy framework that maximises the delivery of affordable housing and contributions to social and community infrastructure – because in the long run, this is the only way that development will pay for itself and be accepted by communities.

Given these changes, maybe, just maybe, in respect of housing delivery through plan-making, the inertia of the last 20 years or so could draw to a close.

Images: Siddhant Prasad and Jeriden Villegas

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Government’s new housing targets: The reaction

CLES / Newstart - 8 July, 2024 - 16:46

In her first speech as Chancellor, Rachel Reeves has revealed the new governments plans to deliver more homes across the UK.

Rachel Reeves has been named as the first ever female chancellor, following Labour’s landslide win on Friday. However, it seems Reeves won’t have much time to celebrate the achievement as she has been tasked with addressing perhaps the biggest issue our country is facing – housing.

Taking to the podium in Parliament today, Reeves promised her government will deliver 1.5 million homes over the next five years.

Within the speech, Reeves also outlined a number of other housing goals which include:

  • Restore mandatory housebuilding targets
  • End the onshore wind farm ban
  • Create a new task force to accelerate stalled housing sites
  • Support local authorities with 300 additional planning officers across the country
  • Review planning applications previously turned down that could help the economy
  • Prioritise brownfield and greybelt land for development to meet housing targets when needed
  • Set out new plans for new policy intentions for infrastructure in coming months
  • Reform infrastructure to deliver planning the country needs

Although the plans discussed appear promising, various housing experts have gathered to discuss the pledges in greater detail.

Scott Black, Chief Operating Officer for Places for People: ‘Today’s statement from the Chancellor has our unequivocal support, we need more new homes and there is no time to waste. This is one of the most pressing issues for the UK, for economic growth, for families across the UK, and for us all at Place for People, whose mission is to build, help, and support communities across the UK.

‘The measures Rachel Reeves has announced today are a positive first step for housing of all tenures including much-needed new affordable homes. As well as bringing forward the delivery of new homes, our own ‘Time to Build’ research illustrated that approximately three-quarters of people also want greater investment in local infrastructure to support new housebuilding, which must not be forgotten.

‘Building must be scaled up now and we are ready to do our part to help. On top of mandatory housebuilding targets and a taskforce to accelerate stalled housing sites, we think more can be done to get Britain building again.

‘If we are to maximise investment into the sector and tackle the current housing crisis for those most in need, we need certainty and more specifically, confirmation on rent at CPI plus 1% while the financial settlement between government and housing associations is reviewed. This would provide housing associations nationwide with the stability to invest in the homes they own and to accelerate building new homes.’

Mitchell Pollington, Director of Historic Environment at Lanpro: ‘The lifting of the de-facto ban on onshore windfarm developments in England, and the desire to bring these under the NSIP regime, is a hugely welcome sign of the new government’s aim to massively accelerate the country’s transition to renewable energy. It has been estimated that this could boost the economy by £45bn and create around 27,000 jobs- and archaeology and heritage will again play a central role in environmental decision-making to enable these new schemes.

‘Since 2015, there has been an effective moratorium on the construction of new onshore windfarms, due to the introduction of footnotes to the NPPF, which required proof that there would be no local opposition of any type to such schemes – which, of course, there always will be at some level.

‘Prior to this, I was proud to work on the heritage and archaeological elements of numerous wind farm applications throughout the noughties – in both England and Scotland – working with passionate environmental consultants and developers who rightly saw that onshore wind was a vital part of our need for mixed renewable energy provision.

‘Archaeological assessment not only helps mitigate any impacts from wind farm developments, but also provides an opportunity for communities to gain a greater understanding of their surrounding historic landscapes, and the archaeological remains which lie within these. With appropriate initial assessment and survey, the layout of windfarms can easily be designed to avoid any significant impacts on archaeology, and rapid, non-intrusive archaeological survey methods, such as established geophysical survey techniques, and more recently adopted techniques such as multi-spectral imaging, can identify features without the need to necessarily dig up – and destroy – buried remains. The use of such methods will help speed up the delivery, and reduce the costs, of such projects and it’s important that archaeology is seen as a facilitator of these nationally vital developments, and not as an unnecessary delaying factor.

‘Bringing onshore wind back into the energy mix in England, is therefore vital to support the country’s move towards clean energy, but also provides great opportunities to further our understanding of our shared archaeological resource.’

Daniel Austin, CEO and co-founder at ASK Partners: ‘Housing stands as a pivotal issue in the election fray, given its correlation with economic stability. Recent upticks in house prices and mortgage approvals hint at recovery, yet the persistent housing shortage threatens prolonged recession. The UK faces a crisis of affordability due to insufficient homes for rent and sale, negatively impacting GDP. Decades of social strain persist with little resolution in sight.

‘We urge the implementation of a radical yet credible long-term plan to assuage market concerns. Their proposed target of 300,000 homes annually echoes longstanding government aspirations unmet since 2004. Four primary factors underpin this crisis: over-reliance on major housebuilders, politicised planning discouraging development, net loss of social housing, and post-Brexit labour shortages. Addressing these roots is imperative to alleviate the affordability crisis. Reinvigorating SME housebuilders is pivotal. Incentives should facilitate access to opportunities, including allocating small land plots for development and streamlining planning permissions for brownfield sites. Boosting skilled labour domestically and reforming the planning system are equally crucial. Independent decision-making and private sector assistance can expedite approvals and reduce costs. Prioritising social housing and incentivising brownfield developments are essential steps toward sustainable growth. Lenders must offer flexible financing to smaller developers. Despite potential temporary unpopularity, a steadfast commitment to a pro-growth agenda is necessary.’

Colin Brown, Head of Planning and Development at Carter Jonas: ‘The change in tone and narrative from the new Labour government is both welcome and refreshing.  However, it is early days for the administration, and we will need to see a lot more detail on how they intend to implement these changes so that delivery is realised on the ground.  The scale of the challenge is huge – to achieve 1.5m new homes in the new parliament will involve rates of housebuilding not seen for decades and one cannot simply “turn the tap on” and expect houses to magically appear.  The government will need to pull multiple levers and act decisively to secure real transformative change.  Central to this will be to grapple with the thorny issue of development in Green Belt locations and to also address the undoubted skills and labour shortages which have the potential to derail their programme.’

Lawrence Turner, Director of Boyer: ‘In her first speech as Chancellor, Rachel Reeves made it clear that kick-starting economic growth through planning is a top priority for the government. The emphasis on building 1.5 million new homes and accelerating stalled housing sites provides a welcome commitment to addressing the Housing Crisis. In addition, the government’s new taskforce created to tackle this issue shows a proactive approach to getting things done.

One of the key announcements made by the Chancellor was the promise of funding for 300 additional planning officers to support the planning system. While we support this, even greater investment is needed in local planning authorities, which is crucial to ensure the necessary resources are in place to deliver on the government’s housing targets. Additionally, the commitment to direct intervention by ministers in planning decisions provides a strong signal to local authorities that the benefits of development will be important material considerations in the determination of development proposals. This will be a key short-term measure to drive development forward. The recovery of planning appeals in Buckinghamshire and Hertfordshire this weekend showcases the government’s willingness to step in when necessary to push through important projects.

The Chancellor’s directive for the Secretary of State to communicate with local mayors and the Office for Investment highlights the importance of co-ordination and collaboration in achieving successful planning outcomes. This is welcomed and will help ensure that investment opportunities tied to planning decisions are brought to the attention of key decision-makers – and a proactive stance is taken in promoting economic growth.

The decision to end the ban on onshore wind and consult on bringing it back into the Nationally Significant Infrastructure Project (NSIP) regime is a positive step towards promoting renewable energy development. We support the Government’s national approach to decisions on onshore wind projects, to streamline the planning process, and encourage investment in sustainable energy sources.

The Chancellor’s reaffirmation of the need for Green Belt release, mandatory housing targets, and investment in local planning authorities addresses long-standing concerns within the industry. These measures have been widely advocated for as key steps in addressing the Housing Crisis and promoting sustainable development. The Government’s commitment to making swift changes to NPPF is a positive sign of this future progress.

However, the real challenge lies in implementing these changes at the local planning authority level. While directives from the government and interventions by the Secretary of State can help guide decision-making, the success of these initiatives will ultimately depend on effective co-ordination and co-operation at the local level. Councils will play a crucial role in translating national priorities into on-the-ground actions that deliver tangible results.

Images: Peter Kostov and Maximillian Conacher

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E.ON announces multi-million pound investment to expand heating network

CLES / Newstart - 8 July, 2024 - 15:55

The customer-first home energy supplier has unveiled the plans with an aim of creating new sources of low carbon heating that might otherwise go to waste.

Currently E.ON have a district heating scheme in the Lower Don Valley, Sheffield that is powered by the organisations Blackburn Meadows renewable energy plant. The project uses biomass to provide a source of heating to connected buildings – not only does this assist with the climate crisis, but it also helps keep people’s energy bill down.

The company are looking to expand the 8km pipe network, connecting new businesses and homes across the Northen eastern city.

‘Whether it’s combating the climate crisis, cleaning the air in city streets, or weaning the UK off fossil fuels to avoid the impact of volatile global gas markets, we need to find new, cleaner ways of heating our homes and businesses. Heat networks like ours in the Lower Don Valley allow us to do that,’ Chris Lovatt, chief operating officer for E.ON’s energy infrastructure solutions business, said.

‘We are the playmakers in creating a more sustainable UK through projects like this, and with Sheffield’s bold steps to become a zero-carbon city by 2050 we’re looking to expand the route of our district heat network to play a role in that ambition. As part of our ongoing investment in the city we’ll be looking to create more than 2,000 green jobs in the region as well as improving public spaces – leaving every space we touch better than when we found it.’

The demand for heat networks within the built environment has increased over the last few years as a result of private housebuilding companies strengthening their net zero goals and households realisation they can save money on their energy bills – an area that is particularly squeezed as a result of the cost-of-living.  

Earlier in the year, as part of Bristol City Leap, Vattenfall Heat UK started serving the equivalent of 5,000 homes with heating and hot water in the Bristol Heat Network. Over the next five years Bristol City Leap plans to deliver a total of £750m in the decarbonisation of Bristol and create 1,000 jobs in the process.

As it stands, there are now 28 commercial and residential buildings connected to the city’s heat network.

Chris Lovatt added that should E.ON’s new plans be approved they will be ‘working with local residents, businesses and community groups to deliver initiatives that improve the city: improved pathways and cycle paths, planting trees and shrubs, as well as creating warm spaces and educational workshops.’

A formal planning application could be submitted to Sheffield City Council towards the end of Summer, with E.ON launching a consultation programme and events for local residents in the coming weeks. If planning consent is granted, construction would begin towards the end of 2025 and continue until the end of 2028.

Image: Harrison Qi

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Labour’s new Housing Secretary and Minister have been named

CLES / Newstart - 8 July, 2024 - 10:29

Following Keir Starmer’s success on Friday the new Prime Minister has begun appointing his cabinet. In and among are the new housing officials.

On Friday 4th July Keir Starmer was elected as the new prime minister – the first time Labour have got into Parliament within the last 14 years. One of Starmer’s key policies is addressing the crippling housing crisis – he has started work on this pledge as he has now appointed his housing officials.

Angela Rayner has been named as the new Housing Secretary and Matthew Pennycook takes the title of Labour’s Housing Minister.

Pennycook, the MP for Greenwich and Woolwich, previously held a role in Starmer’s shadow government, has been appointed alongside Jim McMahon.

‘It is a real honour to have been appointed Minister of State at the Department of Levelling Up, Housing and Communities (DLUHC),’ said Pennycook.

‘Tackling the housing crisis and boosting economic growth is integral to national renewal. Time to get to work.’

Arguably there is no-one better suited to the role as Pennycook has already been closely involved within housing policy – he recently submitted dozens of amendments to the Renters (Reform) Bill.

Propertymark, the leading body for property agents, has expressed their excitement following Pennycook’s appointment.

‘Housing must play a pivotal role for the government moving forwards and in real terms, delivering over 1,100 new homes every single working day for the next five years will take immense planning and enormous stakeholder engagement to achieve,’ said Nathan Emerson, the company’s CEO.

‘There needs to be a long-term cross-party approach with continuity built in as standard – we should never be looking at a housing plan as an insulator five-year government term, in case of any change down the line.’

‘The housing sector is crying out for a vastly increased supply to keep pace with demand, there simply can be no room for error moving forwards or we may end up with prices artificially rocketing due to consumer desperation in finding a suitable home for their needs,’ Emerson added. ‘There must be a broad mix of sustainably built homes that brings much need stock to both buyers and renters. The plan must be delivered with precision and in a way that is connected with wider government planning to ensure key infrastructure is provisioned for as the population further grows.’

In addition to Pennycook’s new role, Angela Rayner has also been named as the new Housing Secretary for the Department of Levelling Up. She will be responsible for delivering Labour’s pledge to build 1.5 million new homes and introduce changes to boost affordable housing.

Rayner, who will also serve as the Deputy Prime Minister, has placed a special emphasis on prioritising council housing as she grew up in a council home.

‘It was a council home that once gave me that security – security that broke down the barriers to opportunity,’ she told the Local Government Association.

The latest government statistics have laid bare the scale of the country’s housing crisis, showcasing Rayner and Pennycook really have their work cut out for them. The number of people being made homeless jumped by 16% in the final three months of 2023 – 45,000 households in England were assessed as homeless during this period which is up from just 39,000 during the same time in 2022.

Image: James Newcombe

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Research reveals green skills desperately needed in built environment

CLES / Newstart - 5 July, 2024 - 15:03

Experts from the University College of Estate Management (UCEM) found 77% of those in the built environment say that their organisation would lose its competitive edge without sustainability skills.

The research, which was published yesterday, also found that not only do green skills help set company’s aside from each other, they are relevant to every role in the sector – 88% of individuals surveyed expressed this view.

However, despite being extremely relevant, the research discovered that these certain skills are hard to come by and 77% of people reported that recruiting people with the right skillset is a challenge.

The survey also highlighted the demand for those skills will only increase as goals to achieve net zero and assist with the current climate crisis have tightened.

‘The UK has the oldest housing stock in Europe which creates significant problems around sustainability and energy conservation,’ Stephen Bartle, Pro Vice-Chancellor at UCEM, said.

‘Built environment professionals are facing looming environmental legislation, yet there is still a shortage of the skills required to meet legal requirements,’ Bartle added. ‘This is a wake-up call for the sector to invest in training that meets financial, legal, and ethical obligations, yet it also highlights the economic opportunity that sustainability presents to both employers and jobseekers.’

On the topic of environmental legislation, 91% of the people involved in the research identified optimising energy use and reducing carbon emissions as the most highly sought-after skill, followed by optimising buildings for health and wellbeing (89%) and actively contributing to improving the sector’s sustainability performance (89%).

Against this backdrop, 83% of respondents agreed that sustainability solutions are a core focus of their industry.

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Labour wins General Election, what does this mean for housing?

CLES / Newstart - 5 July, 2024 - 10:25

After 14 years of Conservative mismanagement Labour have successfully achieved a landslide victory in this years General Election.

“We did it!”, shouted Keir Starmer after it was revealed in the early hours of this morning that he will become the UK’s next Prime Minister, “Change begins now.”

Although the success was far from unexpected, the 2024 election has shattered records. Labour has won a landslide victory, reversing its heavy defeat experiences less than five years ago. The final majority will come close to Tony Blair’s achievement of 1997, surpassing the landslides achieved by Clement Attlee in 1945 and Margaret Thatcher in 1983. Overall, Labour secured more than 635 out of 650 seats declared and will now run the country with a majority of at least 100.

Although this achievement can be described as nothing short of exceptional, Labour now has arguably one of the biggest jobs in trying to fix this country – especially in regard to addressing the current housing crisis. With this in mind, we analyse the reaction to Labour’s victory.

This story will continue to be updated throughout the day.

Parest Raja, CEO of Market Financial Solutions: ‘The accepted logic is that elections bring uncertainty and are therefore bad news for the property market. But there have been some important differences this time around: Rishi Sunak called for the vote to take place a lot earlier than expected, and the result (a Labour victory) has seemed highly likely from the off. As a result, there has been less uncertainty than there could have been, and now the ballots have closed, we should see a prompt return to more stable, ‘business as usual’ conditions.

‘There are enough signs to suggest the market is ready for a post-election uptick in activity. The number of homes coming onto the market in the first half of 2024 is 22.9% higher than last year, while economists are still predicting that the Bank of England will cut the base rate twice before the end of the year, with the first potentially coming on 1st August.

‘But, despite these reasons for optimism, there is clearly no room for complacency. Political and economic turbulence remains, so lenders have to focus on supporting brokers and borrowers as best they can. Optionality and flexibility will be key in the second half of this year, and lenders have to commit to providing borrowers with the financial products they need to both benefit from any opportunities that a potentially more stable climate could provide.’

Jatin Ondhia, CEO of Shojin: ‘Labour’s ascendancy to Downing Street marks an important moment for the property sector. Several ambitious pledges regarding housebuilding and investment were made on the campaign trail, but now’s the time for Starmer and his party to back up their words with actions. Ensuring the UK continues to remain a global hub for investment needs to be a key priority, and the real estate sector will remain a crucial market for attracting that inbound investment.

‘Labour has work to do: interest rates remain high, the cost-of-living crisis has left a toll on people’s spending power, and economic growth needs to turbo-charging. However, following a rather tumultuous end to the Conservatives’ 14 years in power, the UK now has a chance to reposition itself, building strong international partnerships and attracting global investments. Labour’s plans to reform the planning system and pave the way for affordable house building present significant opportunities for greater investment into property development, but the effective implementation of their promised reforms will be key.’

Nicholas Harris, Chief Executive at Stonewater: ‘Labour has work to do: interest rates remain high, the cost-of-living crisis has left a toll on people’s spending power, and economic growth needs to turbo-charging. However, following a rather tumultuous end to the Conservatives’ 14 years in power, the UK now has a chance to reposition itself, building strong international partnerships and attracting global investments. Labour’s plans to reform the planning system and pave the way for affordable house building present significant opportunities for greater investment into property development, but the effective implementation of their promised reforms will be key.

‘For customers, I hope that Labour’s pledge to ‘review’ universal credit sees a more supportive approach, ensuring that those who most need support get the help they need, and ultimately that more customers can thrive.

‘We hope that the government will be focused on delivery, consistency and ambition, and we look forward to working with the MPs in the areas that we operate to help them tackle the issues being faced and deliver support for customers.’

Douglas Grant, Group CEO of Manx Financial Group: ‘While widely anticipated, Labour’s victory brings uncertainty, making it crucial for SMEs to reassess their lending arrangements to strengthen financial stability and operational resilience. This preparation is vital in light of potential economic and policy changes post-election. Recent research by Manx Financial Group indicates significant financial challenges for UK SMEs, with nearly a third having to halt or pause business operations due to insufficient finance. Although this figure has improved from 40% in 2023, 10% of SMEs seeking external finance were unsuccessful. These constraints, alongside a volatile environment marked by conflicts, ongoing global elections, a tight labour market, and cost-of-living issues, hinder SME prospects and national economic growth.

‘The current government has made strides in SME financial support, but more proactive measures are necessary for the Labour government. Advocacy groups urge both current and future governments, along with the Treasury, to continue short-term loan schemes and establish a permanent, government-backed loan scheme. Such a scheme should target resilient sectors and include both traditional and non-traditional lenders, essential for economic recovery and support. As SMEs are crucial to the economy, driving innovation, employment, and local development, it is imperative to equip them with resources to thrive. The evolving SME lending landscape necessitates the next UK government to focus on the following areas:

  • Long-term government-backed financial support: Establish permanent sector-specific financial support, ensuring stability and predictability for SMEs.
  • Technology as a job enabler: Invest in digital skills training, infrastructure development, and technology adoption initiatives to enhance productivity and job creation.
  • Infrastructure development: Provide consistent funding and execution of infrastructure projects to stimulate local economies and support SME growth.
  • Supply chain and infrastructure optimisation: Analyse and improve supply chains and infrastructure to mitigate risks and enhance efficiency.
  • Incentivise investment: Introduce tax breaks and investment schemes to attract capital to UK SMEs, fostering growth and innovation.’

Mark Chick, Director of ALEP: ‘So now that we know the size of the Labour majority it seems a fairly safe bet that the next five years will see a more vigorous programme of reform in the residential leasehold sector.

‘During the next five years we are likely to see the acceleration of commonhold and possibly legislation to end or put a sunset date on leasehold for new properties.

‘It will be interesting to see what Labour chooses to do with the Commonhold project and I expect we will now find out what other drafting has been done by DLUHC in relation to the law commission’s original reports and recommendations.

‘In addition we can presumably expect the current reforms in the Leasehold and Freehold Reform Act 2024 to be brought into effect and the question now turns to the timing of these and secondary legislation.’

Daniel Austin, CEO and Co-founder of ASK Partners: ‘Housing stands as a pivotal issue for the Labour government, given its correlation with economic stability. Recent upticks in house prices and mortgage approvals hint at recovery, yet the persistent housing shortage threatens prolonged recession. The UK faces a crisis of affordability due to insufficient homes for rent and sale, negatively impacting GDP. Decades of social strain persist with little resolution in sight. We urge the implementation of a radical yet credible long-term plan to assuage market concerns.

‘A previously proposed target of 300,000 homes annually echoes longstanding government aspirations unmet since 2004. France’s surpassing construction efforts underscore the urgency, with Capital Economics estimating a need for 385,000 new homes yearly. Four primary factors underpin this crisis: over-reliance on major housebuilders, politicised planning discouraging development, net loss of social housing, and post-Brexit labour shortages.

‘Addressing these roots is imperative to alleviate the affordability crisis. Reinvigorating SME housebuilders is pivotal. Incentives should facilitate access to opportunities, including allocating small land plots for development and streamlining planning permissions for brownfield sites. Boosting skilled labour domestically and reforming the planning system are equally crucial. Independent decision-making and private sector assistance can expedite approvals and reduce costs. Prioritising social housing and incentivising brownfield developments are essential steps toward sustainable growth. Lenders must offer flexible financing to smaller developers.’

Colin Brown, Head of Planning & Development at Carter Jonas: ‘With the election of a new Labour government, there are new opportunities ahead for planning and the wider housebuilding industry – policies to reform the planning system, increase the rate of housebuilding and utilise brownfield and selected Green Belt sites.

‘The extent to which the new government can succeed where the last one frankly struggled will depend on many factors. Building ‘the right homes in the right places’ is a laudable aim but not necessarily as straightforward as it sounds.

‘The new administration appears committed to delivering increased housing numbers through the creation of several new towns.  At one level, this is something one should welcome as part of a balanced overall development strategy, but it will be important not to place all eggs in one basket, given the long lead-in times for delivery of new communities.

‘Labour has also made it clear that a more strategic approach will be taken to the selective release of the Green Belt. In our view, this is the correct approach to take, especially having regard to the fact that many Green Belt locations are those where housing affordability is at or beyond crisis levels. But it remains to be seen exactly how land might be categorised as ‘grey belt’ and we suspect there will be rather more nuance than simply distinguishing beyond what is ‘green’ or ‘grey’.

‘Labour has pledged to introduce effective new mechanisms for cross-boundary strategic planning, requiring all Combined and Mayoral Authorities to plan strategically for housing growth in their areas. While we welcome this, it remains to be seen if cross-boundary strategic planning becomes an advent for informal or more formal regional spatial strategies.  In our view, this is precisely what is needed, and combined with mandatory housing targets, development strategies can be set at a city-regional level.  This would bring many benefits and added certainty to the development industry, allowing more focus on the desirable co-location of housing and jobs.’

Oli Sherlock, Managing Director of Insurance at Goodlord: ‘The new government has a hell of a job on its hands. Whilst their attention will be pulled in many directions, housing policy deserves to be high on the agenda. We’ve had over a decade of stagnation on housing – now is the time for action.

‘Firstly, we need a credible, rapidly implemented plan for house building. The lack of new private and social homes being built is at the very crux of our housing crisis. House building doesn’t happen overnight, meaning we have no time to waste if we want current pressures to abate within a reasonable timeline.

‘Alongside this, the new government must give the market clarity on what’s happening with Renters Reform. If similar legislation to the previous Bill is set to go through, we need clear information on details and timelines. The election-induced delay is also an opportunity to ensure concerns around Section 21 and court backlogs are effectively addressed, before legislation hits the statute books.

‘Lastly, we need consistency of leadership. This isn’t Premiership football, we can’t afford to have another merry-go-round of Housing Ministers – the sector is far too fragile. Long-term planning, consistent leadership, and clarity over details is what the market is calling out for as we enter this new chapter.’

Lauren Hughes, Head of Customer Success at Vouch: ‘Housing should be at the heart of the new Government’s agenda. So many other areas of public policy – health, education, productivity, growth, immigration – are made far more challenging by our current housing crisis. Fix housing and vast benefits are unlocked for the nation.’

‘The UK needs more private and social housing built as soon as possible, alongside incentives to boost the rental market, clearer rules to support tenants and landlords, and far more clarity and consistency over what the future looks like. It’s a big challenge, but we can’t afford to kick the housing can down the road any longer.’

Images: Shutterstock, Nick Kane, Aldric RIVAT and C Dustin

More on the General Election:

The battle of housing: Red vs blues pledges 

Londoners distrust in government suggests devolution could be the future

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