London’s housing target has been a topic of discussion as Deputy Prime Minister Angela Rayner recently announced a reduction to 80,000 new homes a year. This decision comes amidst a severe housing crisis in the city, prompting mixed reactions from various stakeholders.
While the new target is lower than the previous 100,000 pursued by the Conservatives, it is still a significant increase from the current level of delivery, which stood at just over 35,000 homes completed in 2022-23. The government justified the reduction by stating that setting unrealistic targets only shifts numbers away from areas where they can be effectively delivered.
Under Labour’s new proposals, all local authorities will be required to increase housing supply by 0.8 per cent, with adjustments made based on affordability issues. However, some commentators have criticized this move, arguing that London needs more ambitious targets to address its affordability challenges.
Recent data revealed that in 82 per cent of London local authorities, house prices were more than 12 times average earnings, highlighting the pressing need for more affordable housing options. Campaign groups like Britain Remade have called for easier regulations to build near public transport sites, which could potentially unlock thousands of homes within walking distance of London’s transportation hubs.
Despite the criticism, some experts believe that an 80,000 target is still ambitious compared to current delivery rates. Planning partner Jason Lowes suggested that the government’s decision reflects the challenges of developing in London and represents a more realistic approach. Similarly, Anthony Breach from the Centre for Cities emphasized that achieving the 80,000 target would require significant changes to the London Plan.
Deputy Prime Minister Rayner defended the decision by stating that Labour is not lowering ambitions for London and criticized the previous target as based on arbitrary criteria. While the reduction in the housing target may have sparked debate, it is evident that addressing the housing crisis in London requires a multifaceted approach that balances ambition with practicality.