Mayor hails record-breaking housing supply as he meets his promise to begin 116,000 inexpensive houses for Londoners

The Mayor of London, Sadiq Khan, has delivered record-breaking ranges of inexpensive housing in a drive to safeguard the “soul of our metropolis”.

In a speech this morning, he’ll affirm that he has surpassed the goal of beginning 116,000 genuinely inexpensive houses for Londoners between 2015/16 and 2022/3, in addition to setting out why he’s so obsessed with constructing the houses Londoners want. He’ll label London’s housing disaster as ‘a grave social injustice’.

When Sadiq grew to become Mayor in Could 2016, inexpensive housing begins in London had been far beneath what town required. The earlier Mayor left a legacy of simply three houses for social lease within the pipeline when Sadiq took workplace.

Now, due to the Mayor’s Reasonably priced Houses Programme, each councils and housing associations have been empowered to construct the houses Londoners want. The 116,000 houses delivered over the past seven years is the equal variety of houses as a metropolis the dimensions of Plymouth.

This has led to a brand new period of homebuilding, with the variety of new inexpensive housing begins growing in yearly however one (the yr the pandemic hit) beneath Sadiq. Regardless of essentially the most difficult financial headwinds in a long time, a record-breaking 25,658 inexpensive houses had been began in London final yr, up from 18,840 in 2021/22. That is comfortably essentially the most inexpensive housing begins ever recorded since Metropolis Corridor started protecting data in 2002.

Sadiq’s determination to focus extra assets on council homebuilding has paid off, with an enormous enhance within the variety of council houses began throughout this Reasonably priced Houses Programme. Earlier this month, Sadiq exceeded his goal of beginning 20,000 new council houses by 2024, with greater than 23,000 underway by the tip of March 2023.

Metropolis Corridor-funded inexpensive houses have been began in each borough over the past yr. Greenwich and Ealing led the way in which in 2022-23, with every borough seeing greater than 2,000 inexpensive houses began by both the council or housing associations. The Reasonably priced Houses Programme has additionally pushed financial development by creating nearly 140,000 new jobs for the reason that programme started.

The Mayor will reward the dedication of housing associations, councils, builders and communities to constructing the inexpensive houses Londoners deserve and serving to him attain his goal within the face of evermore difficult situations, together with the impression of Brexit, inflation, rising rates of interest, world materials shortages, the conflict in Ukraine and the pandemic.

The entire housing sector in London has stepped as much as the plate to deal with town’s housing challenges, working and innovating collectively to beat among the most severe challenges it’s has confronted in latest reminiscence.

Even this achievement is dwarfed by the size of London’s total housing disaster. Analysis by Metropolis Corridor and Savills printed in December 2022 discovered that London wants £4.9bn a yr between 2023-24 and 2027-28 to ship the 130,000 inexpensive houses it wants.

While this stage of funding has not been forthcoming from the Authorities, the Mayor has additionally used his powers over the planning system to extend the quantity of inexpensive housing supplied on main developments referred to him for planning approval. This has led to the typical share of inexpensive houses on developments authorised by the Mayor doubling from 22 per cent in 2016 to 41 per cent final yr.

The Mayor will mark this achievement in a speech to members of the London housing sector at a building web site within the Royal Docks this morning. Royal Eden Docks is being developed by Mount Anvil alongside Newham Council and Riverside Housing Affiliation. The present section will ship 262 inexpensive houses.

In his speech this morning, the Mayor is predicted to say:

“London’s housing disaster is clearly a brake on development and a barrier to Londoners fulfilling their potential. And fixing it’s key to safeguarding the soul of our metropolis.

“The housing disaster is turbo-charging inequalities in wealth, well being and happiness. It’s making our metropolis much less meritocratic and extra divided. As Mayor, I don’t need to see London turn into a playground for the wealthy – I’m decided to construct a London for everybody.

“I’m proud to say: London is constructing once more. Lately, we’ve accomplished extra houses of all sorts than at any time for the reason that Nineteen Thirties. Whereas the Authorities has shamefully scrapped its personal home-building targets, we’re busy assembly ours. In London, not solely have we hit our goal of beginning 116,000 new genuinely inexpensive houses, we’ve exceeded it.

“I’ve all the time been trustworthy with Londoners – that the housing disaster was a long time within the making and it’ll take time to repair. It is going to be a marathon, not a dash. However, due to the train of concerted political will, we’re shifting in the precise path.

The Mayor will spotlight the alternatives he’s made in responding to London’s housing disaster, saying: 

“That is the place politics comes right down to selections. We’re selecting to construct the genuinely inexpensive houses Londoners want, not prioritising luxurious penthouses for abroad buyers.

“We’re selecting to take the aspect of renters by demanding the Authorities introduce a lease freeze. We’re selecting to reject the notion that housing is an asset, reasonably than a fundamental necessity. And we’re selecting to crackdown on dodgy landlords, rise up for working Londoners and get robust with builders.”

On the pressing want for a lease freeze, the Mayor will say:

“After all, we nonetheless have an extended strategy to go [in solving the housing crisis]. I’m not complacent. Regardless that we’re breaking data, I do know not all Londoners will see or really feel this progress but.

“The actual fact demand for housing outstrips provide is why I’ll proceed combating the nook of renters – placing strain on the Authorities not solely to enhance renters’ rights, however to provide me the powers to introduce a lease management system for London that might enable me to freeze rents and provides renters badly wanted respite.”

The Mayor will finish his speech by saying:

“I got here into politics to not pull up the ladder, however to increase a serving to hand to the subsequent era, and to maintain the promise of London alive as a spot the place all can dwell, work, flourish and thrive.

“I can’t relaxation in persevering with to drag out all of the stops to crack London’s housing disaster.”

Geeta Nanda OBE, G15 Chair and Chief Govt of MTVH, stated: “Tackling the housing disaster London faces is an absolute precedence for G15 housing associations. As not-for-profit organisations pushed by our social goal, we’re happy to have labored with the Mayor, native authorities, and central authorities to begin constructing over 43,000 inexpensive houses for Londoners since 2015.

“Alongside investing round £1billion yearly to take care of and enhance current houses, we’re working arduous, with the Mayor, to attempt to fulfill the continuing want too many individuals have for a good, secure, and inexpensive place to name house. To fulfill this problem, we urgently want a reputable and well-resourced plan for inexpensive housing in London and throughout the nation. This can take partnerships throughout the housing sector, and between completely different tiers of presidency, to ship.”

Mayor of Newham Rokhsana Fiaz OBE stated: “By the Reasonably priced Houses programme we’re accelerating housing supply in Newham. Over 37,000 individuals are on our housing ready checklist and seven,000 households in non permanent lodging. The size of want is determined however we’re taking pressing motion and supporting Sadiq’s inexpensive housing revolution for Londoners. Up to now 5 years alone, we’ve began 1,775 London Reasonably priced Lease social houses since I grew to become the Mayor of Newham with one other 1,500 deliberate or already within the pipeline.

So many Newham residents, like Londoners everywhere in the capital, are going through the menace of homelessness due to the crippling Value of Dwelling disaster and excessive rents squeezing family budgets. Entry to genuinely inexpensive and top quality houses, is important for the sustainability of Newham and for all boroughs within the capital. That’s why we’re on a mission with Sadiq to sort out London’s housing disaster and help residents struggling to seek out inexpensive houses to dwell in.”