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We must address viability issues to unlock the housing delivery we need, writes Tom Copley, deputy mayor of London for housing and residential development
When the mayor launched a consultation on the next London Plan last month, his message was clear: we are prioritising housing delivery and good growth.
We have a record to be proud of in London – more new council homes than anywhere else in the country, exceeding our last target for genuinely affordable homes, and delivering more homes than at any point since the 1930s before the pandemic.
But housing remains one of the biggest issues facing our city. Global instability affecting supply chains, and the frankly disastrous record of the last government, have combined to deepen the crisis.
Rents continue to rise, more and more people are forced into unsuitable accommodation, or even homelessness, and Londoners risk being priced out of the city they call home.
To meet demand, London needs 88,000 new homes per year over the next decade. London has never built at this scale in the past. It’s a huge challenge, which partners of many sectors and sizes must rise to meet.
Speaking to house builders, housing associations and leaders from national and local government at the launch of the consultation, we discussed taking tough decisions, such as exploring the release of parts of the green belt. While the mayor will continue to take a brownfield-first approach, releasing some green belt land is critical to delivering the required quality and quantity of housing – particularly affordable housing.
“London has never built at this scale in the past. It’s a huge challenge, which partners of many sectors and sizes must rise to meet”
It will mean we can deliver more dense, well-connected developments, providing much-needed homes while also improving London’s natural environment.
It is no secret, however, that conditions for housebuilding are harder than ever. London has suffered from sky-high construction costs due to the war in Ukraine, Brexit and COVID, now further compounded by higher interest rates and lengthy delays from the new Building Safety Regulator.
London holds the unenviable distinction of being one of the most expensive cities in the world in which to build, now rivalled only by Geneva. When I speak to our housing delivery partners, it’s clear we must address viability issues to unlock the housing delivery we need.
That’s why we will do all we can to ensure the next London Plan does not undermine viability in this challenging economic context. It will be streamlined to avoid duplicating or layering policies best dealt with at a national or local level. It will be made clearer and easier for decision-makers to implement, and viability tested so that policies do not create additional burdens.
Of course, this will not be a race to the bottom. We will maintain robust standards, and we want to work with our partners across the sector to make good, dense, safe and environmentally sustainable developments. We can – and will – improve viability while ensuring high standards for Londoners.
We cannot do this alone; the London Plan will be delivered in partnership. We want to hear the views of those from across the sector about how the next London Plan can maximise housing and good growth. We’re open to new ideas from house builders on how we can get more spades in the ground over the weeks and months ahead. If there are policies in the current plan that you feel aren’t working effectively or could work better, tell us.
“We want to hear the views of those from across the sector about how the next London Plan can maximise housing and good growth”
Where City Hall can support good, affordable housebuilding, we will. The mayor and I will be using every tool in the toolkit to deliver new homes, from plan-making to call-in powers. Where responsibility lies with national or local government, we will be strong advocates for pro-supply reforms.
The mayor has already called on local authorities to implement London Plan policies as intended, so councils are more flexible and focused on rapidly increasing the rate of building in every borough, and we are engaging with the government on the best way to solve critical issues like Building Safety Regulator delays.
Alongside investment in transport infrastructure and housing, getting the next London Plan right is one of the most critical steps to unlock housebuilding in the short and medium term.
I hope you will contribute to the consultation and join us in working to build a better, greener, fairer London for everyone.
Tom Copley, deputy mayor of London for housing and residential development
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