The London mayor has been urged to take control of the city’s housing crisis, as the construction of affordable homes remains stagnant.
Statistics from the Greater London Authority (GLA) reveal that from April to September of this year, developers initiated work on just 1,239 affordable homes, a significant drop from the 3,991 starts recorded in the previous fiscal year.
Hina Bokhari, leader of the Liberal Democrat faction on the London Assembly, expressed that “affordable housebuilding has plunged dramatically.”
A representative for Sir Sadiq Khan stated that he is making “difficult choices” that include “considering development in the green belt,” and noted that he has been supported by “a historic £11.7 billion investment from the government.”
Earlier this year, the GLA and the Ministry of Housing, Communities and Local Government (MHCLG) reached an agreement to reduce London’s target for the Affordable Homes Programme for 2021-2026 by over 20%.
The revised goal for that period now stands at between 17,800 and 19,000 housing starts. To achieve this new target, developers must begin construction on at least 11,430 affordable homes before March 2026.
Bokhari remarked to the Local Democracy Reporting Service (LDRS): “Londoners are in urgent need of affordable housing – it’s the primary demand from the public for the mayor to address.
“The latest data is worse than expected and illustrates that despite his assurances and objectives, the mayor is struggling to manage this crisis and lacks a clear plan for addressing it.”
According to GLA data, these figures emerge shortly after ministers agreed with the mayor to reduce the affordability criteria for developers.
Constructors will now be offered expedited applications if they commit to including 20% of affordable housing in their projects, down from the previous requirement of 35%.
A spokesperson for Sir Sadiq stated: “There remains a significant amount of work to tackle the pressing housing crisis in London.
“The mayor has emphasized that a ‘perfect storm’ is hindering housebuilding in the capital, caused by a mix of the previous government’s poor decisions, elevated interest rates, increasing construction material costs, the pandemic’s impact, and the ongoing ramifications of Brexit.
“The mayor is closely collaborating with the government on an ambitious set of new initiatives to speed up the creation of affordable homes in London.”
An MHCLG spokesperson commented: “We are determined to exhaust all avenues to construct the 1.5 million homes this nation urgently requires and to revive the aspiration of homeownership in London and beyond.
“Thus, we have recently implemented emergency measures to enhance housebuilding in London, alongside significant planning reforms to assist developers in moving forward and our substantial £39 billion investment in social and affordable housing.”
