Fixing the housing market will require tweaks, not one big idea

Instead, I’d argue the truth is that as with many of life’s problems, the solution lies in lots of smaller fixes that together create a better working model, in this case our housing market.

Unfortunately, the idea that solving a problem may involve myriad tweaks and not one ‘big idea’ is inconvenient to some.

Which brings me to a working example from my own experience. Aster has recently agreed £13m of funding from Homes England under its Shared Ownership and Affordable Homes Programme (SOAHP). The scheme may sound unspectacular – not to mention have a tongue-twisting abbreviation – but it’s an important change in how housing associations can secure Homes England funding.

“Unfortunately, the idea that solving a problem may involve myriad tweaks and no one ‘big idea’ is inconvenient to some”

Under SOAHP, our development team, led by our group development director Amanda Williams, will be able to access 95% of funding for specific eligible schemes at the point we acquire the land.

Compare this to the current process under which housing associations receive 40% at the land acquisition stage, 35% when they begin building and 25% once the development is finished.

This added flexibility has real impact. It means Amanda and her team can scope costs earlier and on a scheme-by-scheme basis.

As we receive the funding sooner, we can increase capacity and this means we can do what really matters – build more high-quality social rent and affordable homes.

The £13m will allow us to build more than 400 homes quickly across 11 of our schemes over the next three years. As a housing association that builds about 1,000 homes a year, you can see the significance of this alteration in how Homes England awards funding, however modest the change may seem. Our first development under SOAHP is already under way in Tadley, Hampshire.

Does Aster have the monopoly on which ‘fixes’ will improve Britain’s housing market? Of course not. But I believe Homes England is being far-sighted and pragmatic with SOAHP. Why wouldn’t you make changes to a model if you knew it was likely to allow associations to build more homes?

This, I believe, is the case with SOAHP. And, importantly, it’s a perfect example of the potential impact one small change can have in a market.

My hope is that outlining here the ways in which our model is evolving will inspire others in the sector to share their own ideas and examples, however small they may seem.

“The truth is we all have something to contribute, even if the ideas don’t immediately seem ‘big’”

No one denies that the market needs to change but we shouldn’t hold our breath awaiting a silver bullet, although it is tempting to look for that elusive panacea.

The truth is we all have something to contribute, even if the ideas don’t immediately seem ‘big’.

Going back to our work under SOAHP, the important thing for me is the 400 families that will get a brand new social rent or affordable home because of our ability to access Home England’s funding.

It’s a reminder of why we all do what we do. And at the dawn of a new decade, what could be more inspiring than that?

Bjorn Howard, chief executive, Aster Group