COMMENT I have seen first-hand, through HSPG’s partnerships with local authorities and homelessness charities, the significant need to increase housing supply in the UK. And to do so with the needs of our communities and most vulnerable at front of mind. While house prices are climbing, an estimated 130,000 households were made homeless in the first year of the pandemic alone. The urgency of this need has never been more acute.
Michael Gove, the new secretary of state for the ministry of housing following this week’s cabinet reshuffle, faces a significant challenge in addressing this crisis. As he takes on the mantle of this task, I want to share some thoughts on how his leadership can make the step change the UK housing sector desperately needs.
Public-private partnerships
Our housing crisis has reached a cliff edge – we need urgent solutions to help the most vulnerable. Covid-19 has exacerbated a crisis in affordable and supported housing for some of the most vulnerable members of our communities, as well as those who desperately want to gain access to the housing ladder.
Of course, it is no secret that the UK continues to face a chronic shortage of affordable homes. Last month, reports suggested that the average UK property now costs more than eight-times average earnings, while, according to Shelter, 6m people in England currently fear homelessness as a result of the pandemic.
To make levelling up a success, increasing the availability of affordable housing should be top of the policy agenda. Indeed, in addition to the significant demand for affordable homes in the private market, 600,000 people currently rely on supported housing in the UK. In the wake of Covid-19, this number could rise yet further and we must not lose sight of this need.
At HSPG, we have seen first-hand the benefits that public-private partnerships can bring in striving to increase supported housing supply. As well as supporting councils to best meet their duties under the Homelessness Reduction Act 2017, long-term relationships with like-minded housing providers can deliver important cost savings that allow funds to be better spent on support and services. This is something I urge the housing secretary to embrace.
Seize the chance
We cannot rely on building alone – our planet and communities need alternative solutions. A change in leadership is an opportunity for change more broadly. The focus has historically been on “new build” as the solution to providing more homes. But with reports that a third of local authorities missed their housebuilding targets even prior to the pandemic, it’s clear that more diverse approaches are also required.
Now is the time to act and seek alternative solutions to the UK’s housing crisis. At HSPG, as well as building a pipeline of 1,000 new-build affordable flats, we have already worked on projects converting disused retail units into accommodation for people at risk of homelessness and victims of domestic violence. In fact, recent research suggests as many as 450,000 new homes in the UK could be provided through these kinds of projects.
Equally, not only can embracing and adapting existing buildings help to increase affordable and supported housing supply, it can deliver important sustainability gains ahead of the 2050 target for net zero carbon emissions in the UK.
Indeed, for all incoming ministers, COP26 must be front of mind. This is particularly true for the housing sector, where our built environment currently accounts for 40% of UK greenhouse gas emissions. However, by reusing existing structures and materials, rather than simply building new, we can combine greater social impact with minimised environmental costs.
Ultimately, the appointment of a new housing secretary offers a clear opportunity for change in the UK’s approach to housing provision. To make levelling up a success, everyone must have access to safe and high-quality affordable housing. And by prioritising increased supply alongside more innovative approaches that minimise environmental cost, housing policy could be at the heart of that agenda. I urge the new secretary of state for housing to seize this chance.
Guy Horne is co-founder and chief executive at HSPG
