Chancellor John Healey faces fresh pressure to release billions from the £39bn Social and Affordable Homes Programme (SAHP) in his Budget on October 28, with housing associations warning that without extra cash they cannot deliver tens of thousands of homes. Labour MP Abena Oppong-Asare has publicly urged Mr Healey to allocate a significant portion of the fund during this parliament, a move that could see 41,000 new affordable homes built outside London over the next decade.
MP's call for urgent allocation
Speaking to the Guardian, Ms Oppong-Asare said: “The government should use the upcoming budget to increase the building of social homes by ensuring a significant proportion of the Social and Affordable Homes Programme is allocated during this parliament.” She added: “Families stuck on social housing waiting lists need to see action now. I urge the chancellor to ensure a significant sum of the £39bn SAHP is allocated during this parliament and that truly affordable social rent homes are prioritised as part of this package.”
The plea comes ahead of the chancellor's Budget on October 28, which is expected to set out the government's spending priorities. Housing associations have indicated that with additional funding, they could build an extra 41,000 homes outside London over the next 10 years, easing pressure on waiting lists and temporary accommodation.
Housing associations' readiness
Kate Henderson, chief executive of the National Housing Federation (NHF), explained the current situation: “Housing associations submitted bids with plans to build tens of thousands of affordable homes, but many organisations with sites ready to go and proven track records did not receive the funding needed to deliver these homes.” She added: “With additional investment now, it is possible to help transform the lives of families in urgent need of an affordable home.”
The NHF's comments underline the sector's capacity to act quickly if funds are released. The 41,000 figure represents homes that could be built outside London, where land costs and demand pressures differ from the capital.
Government's response
A spokesperson for the Ministry of Housing defended the current approach: “We’ve already announced nearly £10bn of allocations from the Social and Affordable Homes Programme so we can start building more than 70,000 council, social and affordable homes across England.” They added: “Our record investment will help families trapped in temporary accommodation or stuck on housing waiting lists into safe, secure homes.”
The government has allocated nearly £10bn of the £39bn programme so far, supporting more than 70,000 homes across the country. However, campaigners and housing associations argue that the remaining funds need to be committed sooner rather than later to maintain momentum and address the ongoing housing crisis.
The outcome of the Budget will determine whether housing associations receive the additional investment they say is needed to deliver the 41,000 homes, potentially providing relief for thousands of families currently waiting for social housing.
