Britain’s housing ambitions will stand or fall on its delivery model
Angela Rayner has reiterated the government’s pledge to build 1.5 million new homes by 2029. However, as rising costs and ongoing market pressures continue to challenge the sector, attention has turned from political targets to the practicalities of making those ambitions a reality. Jonathan Parker, our development director, examines the findings of our Building 1.5 Million Homes – Is It Achievable? report and what they reveal about turning ambition into reality.
Reappointed housing secretary Angela Rayner has compared this target to the likes of running a marathon. However, a deep-seated pessimism within the housing sector have been revealed by insights from respondents representing a broad cross-section of job functions across local government and housing associations.
Even with significant policy reform that may come under Burnham’s premiership, less than one-third of the housing sector believes the national target for new homes is achievable. When asked whether they were satisfied with their organisation’s progress towards delivering affordable homes against local targets since the Labour government took office, just over one-third of respondents said they were.
While Rayner emphasises her determination to fulfil the government’s housing commitment, there are a range of barriers revealed by our report that must be addressed if ministers are to accelerate housebuilding at the scale required.
A series of structural barriers
The government has agreed sustained investment is needed and the sector is clear: funding remains the biggest obstacle. With 60% of respondents describing local housing project funding as inadequate or highly inadequate, unlocking delivery will depend on a step change in long-term investment. Other barriers also include land cost, site availability and developer profit expectations.
Set against a backdrop of Rayner linking delivery to reforms aimed at unlocking stalled sites and encouraging a brownfield first approach, housing professionals adopt a pragmatic stance. With rising remediation costs, 54% of respondents support a balanced approach using both brownfield and green belt sites.
Our report also revealed that housing associations prioritise refurbishment, while local authorities place greater emphasis on enabling new development. However, it is unanimous across the sector: this all must be supported by corresponding investment in social infrastructure with an overwhelming 79% of all respondents viewing collaboration with other public sector bodies as essential or important.
What is the true measure of success?
With just under 400,000 additional homes being delivered since the start of the current parliament, the pace required to meet the target has been clearly underscored. But outside of this, success is defined not by numbers alone, but by the creation of places that thrive.
Our report suggests this broader perspective is at risk of being lost. An over-reliance on fragmented, piecemeal interventions has created a complex delivery landscape. Without a more integrated approach, accelerating housing delivery and creating thriving communities will remain competing priorities.
Greater collaboration between local authorities and developers is required and developer-led procurement through joint ventures offers a solution, accelerating delivery, improving value for money and better community outcomes, while avoiding the cost and delays of traditional open-market developer procurement. Early engagement between partners will accelerate delivery while ensuring communities help shape the places they live from the outset.
For more information on our housing research, visit our reseah page here.
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