Councillor Gill Williams is joining an unprecedented cross-party coalition of more than 100 council landlords in Westminster today (Tuesday 3 September) to jointly publish 5 solutions for the government to ‘secure the future of England’s council housing’.
The coalition warn that England’s council housing system is broken and that urgent action is needed for the government to deliver its housing promises.
Led by Southwark Council, 20 of the largest council landlords published an interim summary of their recommendations in the summer. The campaign has since led to more than 80 other councils backing their recommendations and signing the final report, including Brighton & Hove.
This more detailed report sets out a full roadmap to renew the country’s council housing over the next decade and critical policy changes for the realisation of the new government’s social housing ambitions.
It explains how an unsustainable financial model and erratic national policy changes have squeezed council’s housing budgets and sent costs soaring.
Urgent action
New analysis from Savills shows they will face a £2.2 billion ‘black hole’ by 2028. They warn that unless more is done soon, most council landlords will struggle to maintain their existing homes adequately or meet the huge new demands to improve them, let alone build new homes for social rent.
Across the country development projects are being cancelled and delayed, with huge implications for the local construction sector, jobs and housing market.
Rather than increasing supply, the reality is that some councils will have no option but to sell more of their existing stock to finance investment in an ever-shrinking portfolio of council homes.
The recommendations include urgent action to restore lost income and unlock local authority capacity to work with the new government to deliver its promises for new, affordable homes throughout the country.
The 5 solutions set out detailed and practical recommendations to the new government:
- A new fair and sustainable Housing Revenue account (HRA) model – including an urgent £644 million one-off rescue injection, and long-term, certain rent and debt agreements.
- Reforms to unsustainable Right to Buy policies
- Removing red tape on existing funding
- A new, long-term Green & Decent Homes Programme
- Urgent action to restart stalled building projects, avoiding the loss of construction sector capacity and a market downturn
They make up a plan for a ‘decade of renewal’, with local authorities and central government working together to get ‘Housing Revenue Accounts’ (HRAs) back on stable foundations, bring all homes up to modern sustainable standards, and deliver the next generation of council homes.
Improving homes
Councillor Williams, Brighton & Hove City Council’s Cabinet Member for Housing & New Homes said: “We believe a renewed focus on investing in council housing is absolutely the right thing to do and we fully support the recommendations.
“We are committed to providing high quality safe homes for our residents but, like many councils with an ageing housing stock, are facing huge challenges with the barriers limiting the investment and many homes lost to the Right to Buy.
“Access to decent quality, affordable housing is fundamental for a better Brighton & Hove. Investing in council housing to secure a sustainable future is by far the best way to achieve that.”
Councillor Kieron Williams, Leader of Southwark Council, said: “This unprecedented coalition of councils – representing every corner of England - is united in our determination to ensure our residents have decent and affordable homes.
“For families across our country their council home is a foundation - giving them the security needed to put down roots and flourish.
“Our new government has committed to delivering the biggest increase to affordable and social housing in a generation.
“The Deputy Prime Minister’s recent announcements demonstrate that they know the critical role councils will play in reaching this ambition. However, the reality is that our national council housing finances are on the brink.
“Our 5 solutions offer the new government an opportunity to turn this around - lifting the council homes we have up to modern, safe, healthy and green standards, and delivering the thousands more council homes that our country urgently needs.
“By investing in them together, we can transform lives for the better for generations to come.”