Look in the mirror! Homes England New Homes Fact Sheet
We surely have a big problem on our hands, and it only becomes clearer when you examine the statistics….the facts (thanks to Homes England’s 2nd November 2023 publication.
Drilling into the finite details per Local Authority does not make for a good reading when you consider spend on temporary accommodation, homelessness statistics and the high number of non-decent homes across England.
Not sure where the government’s 300,000 homes per year target came from, but the fact is that this target is understated and has never been met (a double whammy!). Only 178,000 new homes were reportedly built in England in 2022. As the gap between demand and supply of housing continues to grow (as it has been over a decade) so will the quantum of new homes required per annum to enable us to turn the tide of our housing crisis within a decade. Yes, within a decade!
Now, that number is currently not 300,000, I am afraid. It is closer to 400,000 per annum when you do the maths!
What that means in simple terms is that by not acting decisively now on scaling up house building (with serious consideration for Public-Private Partnerships, as one prime driver), the size of the problem simply gets bigger, costlier and the opportunity costs more significant!
Remember though, Local Authority housing bill (including temporary accommodation costs) will continue to grow without decisive action. I call that money down the drain.
Look in the mirror. What version of economics and financial prudence is the status quo?
If you are serious about changing course, speak to us. We support Local Authorities with strategic and delivery advice on addressing the waste and on models for scaling up their provision of Social Rent and affordable rent dwellings, sweating their assets optimally and applying an appropriate funding model.
’Kunle Awofeso, Director/Partner, Airey Miller