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1.5 million new homes could deliver £103bn in social impact
A total of £103bn in social impact could be unlocked if England delivers the government’s target of 1.5 million new homes, a study has found.
A total of £103bn in social impact could be unlocked if England delivers the government’s target of 1.5 million new homes, a study has found #UKhousing The Impact of a Home report estimates the social value could be achieved through the delivery of the homes in the next five years.
The study measures the social impact that good-quality housing can deliver for society at large, such as social mobility during childhood or providing access to education and green spaces.
Developed through a collaboration between built-environment consultancy Meeting Place and economists at Loop, which provides social-value measurement for organisations, the report is also backed by house builder Vistry and Sovereign Network Group (SNG) housing association. It was launched at an event in parliament on Monday.
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Last week, the government announced a 10-year rent settlement and a £39bn Affordable Homes Programme (AHP) as part of its much anticipated Spending Review.
The study uses the WELLBY (well-being-adjusted life year) measure, the Treasury’s recommended standard value for monetising changes in life satisfaction.
The findings suggest a secure home for every person moved out of homelessness in London could deliver a £25,693 uplift in social impact.
Nikki Davies, chief executive of Meeting Place, said: “For many of us, our home makes us feel warmth and security.
“It’s somewhere where we can recharge, exercise, study or work and spend time with family and friends. Yet, until now, it’s been difficult to distil and calculate the impact a good-quality home can have on our everyday lives.
“For the first time, our research puts the spotlight on what it really means to have a home of your own, and provides a timely reminder of why we need to redouble efforts to alleviate the country’s chronic and ever-increasing housing crisis.
“Through government, industry and communities working together, we have the power to generate tens of billions of pounds worth of impact, transforming lives for millions of people up and down the country.”
The study also found that £9,543 in social impact could be delivered for an older couple relocating to retirement accommodation, £2,107 could be created for a family moving out of overcrowded housing, and £1,520 of well-being impact could be created for a child given access to a private garden.
Stephen Teagle, chief executive of partnerships and regeneration at Vistry, said: “The government’s ambitious housing targets have the potential to deliver a major boost for the country; not just for future homeowners or in macro-economic terms, but, as the Impact of a Home report shows, through tangible social impact for society as a whole.”
Joe Marshall, regional managing director for the South at SNG, said the report “provides the evidence that underpins our purpose – that a good home is the foundation for a better life, transforming lives and opportunities”.
This latest study follows research that shows how the new AHP could deliver as many as 500,000 homes in the next decade, but will need roughly another £100bn in private finance to plug a viability gap if the government is to hit its 1.5 million homes target.
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