London will receive up to 30% of the total national funding from the newly-announced Social and Affordable Homes Programme.
The national programme, which has allocated £11.7billion to the capital, aims to build 300,000 homes in England by 2035, 60% of which will be built for social rent.
The breakdown for the remaining 40% has not been specified, but is believed to include shared ownership and affordable homes.
London Renters Union spokesperson Jae Vail said: “Public money should be spent on public housing.
“The term affordable housing is a euphemism that includes shared ownership and private rentals up to 80% of market rents.
“What we need most is council housing.”
London faces the most severe housing pressures in England, with one in every 49 Londoners currently homeless and living in temporary accommodation or budget hotels and B&Bs, according to a new report by Citizen UK and Trust for London.
Vail said: “The government’s current plan will not fix London’s housing crisis.
“It is well below historic highs of investment in public housing and that’s before we take into account demolitions and further sell-off of our public stock.
“There are over 300,000 households waiting for social housing in London and tens of thousands trapped in insecure and unsafe temporary accommodation.”
Mayor of London Sadiq Khan has faced criticism for slow progress, after the number of homes started in 2024 was the second-lowest on record.
The original target to deliver 35,000 affordable homes by 2026 under the Homes for Londoners: Affordable Homes Programme was reduced to between 17,800 and 19,000, following an agreement this May between City Hall and the Ministry of Housing, Communities and Local Government.
Less than a week earlier, on 9 May, the Mayor announced plans to start exploring the possibility of building on London’s greenbelt, despite his previous opposition.
London Councils deputy chair and executive member for housing and regeneration, Councillor Grace Williams, said: “This investment – the largest ever for the capital in cash terms – will support us to build more of the social and affordable homes that our residents are crying out for.
“We welcome the long-term certainty that this ten-year programme provides, alongside the additional funding flexibilities for Right to Buy receipts.”
Deputy prime minister and housing secretary Angela Rayner said: “We are seizing this golden opportunity with both hands to transform this country by building the social and affordable homes we need, so we create a brighter future where families aren’t trapped in temporary accommodation and young people are no longer locked out of a secure home.”
Feature image: Ben Allan/Unsplash
