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What next for housing policy?


What next for housing policy?

Newington Associate Patrick Law, former Director of External Affairs at Barratt Developments Plc, looks at the future direction of housing policy.

Looking back at the headline themes of the 2017 General Election, you would be forgiven for thinking that the housing crisis had been solved some time ago.

The contrast with 2015 election could hardly be sharper. Then, the PM and Chancellor relentlessly toured building sites in marginal constituencies kitted out in hard hats and high vis jackets.

Aspirant home owners were targeted and hundreds of thousands of new discounted starter homes were promised, together with a new right to buy for social housing residents. Yet by the time of the 2017 Housing White Paper these flagship policies had been diluted beyond recognition.

The 2017 Conservative manifesto shifted policy further promising a new generation of public sector affordable homes, albeit with a right to buy built in later down the line.

But despite the lack of air time given to housing during the campaign, housing-related issues were woven into the sense of injustice and frustration that bolstered the Labour vote. A frustration primarily of younger people working in insecure jobs, often excluded from home ownership and housed in overpriced, poor quality rented accommodation.

In fact, despite the lack of discussion during the election, the growing number of private renters saw housing as one of the most important issues in terms of their vote. And they favoured Labour by a staggering 23% - a far bigger advantage than the Conservatives had amongst owner occupiers.

In a Brexit dominated environment it would be difficult enough for a minority Government to grapple with housing issues that demand long term solutions. But now the Grenfell tragedy rightly means that DCLG ministers are fully consumed managing the fall out in terms of ensuring resident safety.

However, there are some pointers about the housing agenda that may emerge, driven as much by short term political expedience as much as long term housing need.

First, there is a growing political consensus that there must be policies that address all tenures not just homeownership. In the Queen’s Speech the Government indicated they would legislate to protect private tenants from some of the practices of rental agencies. But there will be pressure to go further.

Secondly, difficult and controversial reforms of planning that had been pursued are not going to get air time. The Government will be particularly sensitive to backbench pressure on controversial housing plans, so developers will have to build public support.

Thirdly, a deregulatory agenda for housing is now a nonstarter. The All Party Group for Excellence in the Built Environment has already raised serious questions about the quality of new build and consumer protection. Added to that is the high profile abuse of the terms of leaseholds that will be addressed.

The Government will want to tackle these issues whilst continuing to drive up volumes and set the scene for the emergence of new affordable homes. Whether it will have the capacity or the longevity to fundamentally alter the long term direction of housing policy is, at the very least, a considerable doubt.

Understanding how housing policy impacts your organisation will be critical in the year ahead. Newington’s Housing team will be delighted to discuss how they can help you. In the first instance please contact Newington Managing Director Phil Briscoe by emailing [email protected].

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