Stockport Council was the only Greater Manchester authority to put its name to a document that warns that England’s council housing system is broken and that urgent action is needed for the government to deliver its housing promises.
A coalition of 100 councils led by Southwark Council in London warn that England’s council housing system is broken and that urgent action is needed for the government to deliver its housing promises.
Their analysis finds that an unsustainable financial model and erratic national policy changes have squeezed council’s housing budgets and sent costs soaring.
New analysis from Savills shows they will face a £2.2bn ‘black hole’ by 2028.
They warn that unless more is done soon, most council landlords will struggle to maintain their existing homes adequately or meet the huge new demands to improve them, let alone build new homes for social rent. Across the country development projects are being cancelled and delayed, with huge implications for the local construction sector, jobs and housing market.
Rather than increasing supply, the reality is that some councils will have no option but to sell more of their existing stock to finance investment in an ever-shrinking portfolio of council homes.
The recommendations include urgent action to restore lost income and unlock local authority capacity to work with the new government to deliver its promises for new, affordable homes throughout the country.
Councillor Kieron Williams, Leader of Southwark Council, said: “This unprecedented coalition of councils – representing every corner of England – is united in our determination to ensure our residents have decent and affordable homes. For families across our country their council home is a foundation – giving them the security needed to put down roots and flourish. However, the reality is that our national council housing finances are on the brink.
“Our new government has committed to delivering the biggest increase to affordable and social housing in a generation. The Deputy Prime Minister’s recent announcements demonstrate that they know the critical role councils will play in reaching this ambition.
“Our five solutions offer the new government an opportunity to turn this around – lifting the council homes we have up to modern, safe, healthy and green standards, and delivering the thousands more council homes that our country urgently needs. By investing in them together, we can transform lives for the better for generations to come.”
