The UK government has introduced emergency measures aimed at accelerating housebuilding in London, responding to the capital’s ongoing housing crisis. However, these initiatives have sparked criticism from opposition figures who argue that the Mayor of London has failed to deliver sufficient new homes.

Reduced Affordable Housing Threshold for Fast-Track Planning

One of the key changes in the government’s plan is the reduction of the affordable housing requirement for sites to qualify for a fast-track planning route. The threshold has been lowered from 35% to 20%, a move intended to incentivise developers to bring forward more housing projects quickly.

This adjustment aims to unlock stalled developments by making it easier for housebuilders to meet planning conditions and expedite approvals. The government believes this will increase the number of homes constructed on sites already designated for housing.

Expanded Mayoral Powers to Oversee Housing Schemes

In addition to easing planning requirements, the government will grant the Mayor of London enhanced powers to intervene directly in housing schemes that face potential blockage at the borough level. Starting in May, the Mayor will have the authority to call in and review planning applications for developments of 50 homes or more if a borough intends to refuse permission.

This measure is designed to prevent local delays and ensure that viable housing projects are not unduly hindered, reflecting the government’s commitment to speeding up delivery across all London boroughs.

Government Removes GLA Guidance Limiting Density

The government will also temporarily remove specific Greater London Authority (GLA) guidance that restricts housing density on certain sites. Officials argue that this guidance has been a barrier to development on land already earmarked for housing, and its removal is expected to enable more homes to be built on ready-to-go sites.

Mayor Sadiq Khan’s Response

Mayor of London Sadiq Khan welcomed the emergency package, emphasising his commitment to building more social and affordable homes. He stated: “Building more social and affordable homes is a top priority and I’m taking the tough decisions to get these much-needed homes built, including working closely with government to finalise this temporary emergency package which will unlock stalled sites across London.”

Khan highlighted that the measures respond to concerns raised by housebuilders, housing associations, councils, and Londoners, aiming to prioritise affordable housing delivery while addressing London’s unique challenges.

He added: “I make no apology for wanting to see more action to deliver new homes and will continue to work with government to accelerate housebuilding, tackling the building safety regulator backlog and supporting new schemes as we build a fairer and better capital for all.”

Criticism from City Hall Conservatives

Despite the government’s intervention, data shows that fewer than 4,500 social and affordable homes began construction in London last year, underscoring the scale of the housing shortfall.

Lord Bailey, Housing spokesperson for the City Hall Conservatives, criticised the Mayor’s record, saying: “This announcement is a damning indictment of the Mayor of London’s record on housing. After ten years in office, and after repeated promises to Londoners, Sadiq Khan has still failed to deliver the homes this city desperately needs.”

He continued: “Of course, we want these homes built. Londoners need them urgently. Families are trapped in unsuitable housing, young people are locked out of home ownership, and key workers are being priced out of the capital altogether. But the reason this intervention is happening at all is because the Mayor has failed to do the job.”

Additional Support for Renters

Alongside the housing measures, Mayor Khan has announced a £400,000 fund to assist London renters in understanding their rights and challenging landlords. This initiative coincides with the introduction of the Renters’ Rights Act, which comes into effect on 1 May.

What this means for landlords

For landlords and agents operating in London, the government’s measures signal a shift towards faster planning approvals and potentially increased housing supply, especially on sites previously delayed by planning constraints. The reduction in affordable housing requirements for fast-track schemes may encourage more developments to proceed swiftly, although it could also affect the proportion of affordable homes delivered.

Landlords should also note the Mayor’s expanded powers to intervene in larger housing schemes, which may influence planning outcomes and development dynamics in the capital. Additionally, the new fund to support renters’ rights highlights the growing focus on tenant protections, emphasising the importance for landlords to stay informed about evolving regulations.

Source: Based on reporting from Property118

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