Autumn Statement 2016: New tactics to tackle London housing crisis win welcomeComments Off on Autumn Statement 2016: New tactics to tackle London housing crisis win welcome
Property experts cheered a raft of funding measures unveiled in the Autumn Statement to boost housebuilding, including for 90,000 affordable homes in London.
The Chancellor revealed that the capital will receive more than £3 billion as its share of national affordable housing funding.
He also outlined plans for a £2.3 billion housing infrastructure fund to help build up to 100,000 homes in areas “of high demand”.
Philip Hammond said that for “too many the goal of home ownership remains out of reach”, and the Government wanted to “deliver a housing market that works for everyone”.
Melanie Leech, the chief executive of the British Property Federation welcomed the news and said it is “good for jobs and the economy”.
James Thomson, finance chief of developer Keepmoat, called it “a promising start”. “Opening up this funding to local authorities to deliver new homes through joint ventures would undoubtedly increase supply,” he said.
But Adam Challis, head of residential research at JLL, warned that more than just government money was needed. “The Chancellors’ hands are tied with the deficit continuing to grow, but there is a huge wave of private sector money seeking to invest in housing stock,” he said. “He should aggressively be seeking out private partnerships — there is no time to waste.”
Martin Skinner, chief executive of Inspired Homes added: “It is vitally important that these new measures quickly filter to homebuilders so we can begin work. Young people who are currently locked out of the buying market, especially in London, will only see this as a step in the right direction when new affordable homes are actually created.”