There’s no shortage of announcements in the housing sector at the moment. But for anyone working in social housing, the real challenge is turning those announcements into homes. Funding and changes to legislation can help, but getting projects off the ground and delivering homes is rarely straightforward.
A few recent announcements are worth looking at in more detail, particularly what they could mean for councils, housing associations and developers.
More Support for Council Housebuilding
The Government has announced an additional £21.8 million for the Council Housebuilding Support Fund, alongside its £39 billion Social and Affordable Homes Programme over the next ten years.
It’s encouraging to see further support for councils looking to build more homes. Local authorities have an important role to play in tackling the housing shortage, but bringing a scheme forward can be complicated. Finding suitable land, making the finances work, dealing with planning requirements and getting the right partners involved all take time.
The legal work is an important part of this too. Issues with land ownership, development agreements or funding arrangements can cause delays if they aren’t picked up early. Getting these details right from the start can make a real difference as a project moves forward.
Help for First-time Buyers
The proposed Your First Home scheme is another development to keep an eye on. The plans include a 2.5% deposit and a government-backed equity loan of 20% for eligible first-time buyers purchasing new-build homes, with further details expected at the Budget on 28 October.
For developers, this could offer another way to sell new homes and help more people get onto the property ladder. However, much will depend on the final details and how the scheme works in practice.
It’s also worth remembering that helping people buy a home is only part of the picture. There remains a clear need for more social rented housing, alongside other affordable housing options, to meet the different needs of local communities.
Changes to the Social Housing Bill
Proposed changes to the Social Housing Bill could have practical implications for housing providers.
The proposals include giving councils new powers to refer homeless households to private registered providers of social housing, with providers only able to refuse for a good reason. There are also plans to extend the notification period for certain social housing disposals to eight weeks, giving councils and other providers more time to consider buying homes before they leave the social housing sector.
If these changes become law, housing providers may need to review their referral processes, allocations policies and asset management plans. The longer notification period could also affect the timing of property transactions, particularly where there are already tight deadlines to meet.
The Bill is still progressing, so the final wording will be important. In the meantime, providers should keep track of developments and consider whether any changes to their current processes might be needed.
More Leasehold Reform?
Further leasehold reform is also expected, although there is still more to learn about what this will involve.
Leasehold issues affect housing providers in a number of ways, from flats in mixed-tenure developments to shared ownership properties and the management of existing homes. Any further changes could have implications for both existing portfolios and future developments.
Until the detail is confirmed, it’s difficult to say exactly what the impact will be. However, it’s another area that housing providers and developers will want to keep on their radar.
Turning Plans Into Delivery
There’s clearly a lot happening across the housing sector, with each announcement addressing a different part of the wider challenge. The important question is whether these measures will translate into more homes and better housing options for the people who need them.
Funding and policy changes can provide a starting point, but delivery depends on much more than that. Schemes need to be financially viable, suitable land needs to be available and councils, housing associations and developers need to work together effectively.
Getting the legal arrangements right is part of that process. Dealing with potential issues early can help avoid unnecessary delays and give projects a better chance of progressing as planned.
Ultimately, delivering more affordable homes takes time, planning and cooperation. The announcements are a step in the process, but what matters most is how they work in practice and whether they help get more homes built.
Please contact our Social Housing team if you need advice or fill in our form below.