A new report, co-authored by Toby Lloyd and Rose Grayson, claims that England’s council housing system is broken and it’s ”future is in danger”. Newcastle Council which manages over 24,000 social homes across the city is backing the report with its five policy recommendations. The Council with other local authorities is calling on the new UK government to ”secure the future of England’s council housing.
The report notes that an unsustainable financial model and erratic national policy changes have squeezed budgets and sent costs soaring. Council house budgets will face a staggering £2.2bn ‘black hole’ by 2028. Unless action is taken, most council landlords including Newcastle, North Tyneside and Gateshead will struggle to maintain their existing housing stock or meet the big demands to improve them, let alone build new homes for social rent.
Recommendations
The report’s recommendations include ”urgent action to restore lost income and unlock local authority capacity” to work with the new UK government to deliver its commitments for new, affordable homes throughout the region and elsewhere in the country. The report is calling on central government to:
- Bring about a new fair HRA model – including an urgent £644mn one-off rescue injection.
- Introduce reforms to unstainable Right to Buy policies.
- Remove ”red tape” on existing funding.
- Implement a new, long-term Green & Decent Homes Programme.
- Bring about pressing action to re-start stalled building projects.
The policy recommendations make up a plan for a decade of national renewal, with local councils and national government working together in partnership to get housing renewal accounts back on track and to bring all properties up to modern and green standards, and deliver the ”next generation of council homes.”
Coun Paula Maines, the Cabinet Member for Housing at Newcastle Council, said:
”Our country’s largest council landlords have come together to try to find a resolution to the issues we are all facing. In Newcastle alone 10,000 people are on the waiting list for a council home.”
The Kenton councillor added:
”Erratic policy choices from our last government have left council housing finances broken and the system’s future is in danger. We want to work with the new government to deliver more and better council homes that our communities need. Residents are at the heart of everything we do and as a local council we want our tenants to receive the best possible service.
”In recent years, we’ve faced major financial changes in the housing sector that means we need to get more from every pound we spend. The recent Housing Transfer, which has seen us bring all housing services together in the council, will enable us to be more effective and efficient in the way we deliver housing services to our residents. But we need further support from our government to make sure we have sustainable solutions for the future.”
