Can Labour still hit their 1.5 million homes target?

We’re now almost halfway through Labour’s term in power and it’s fair to say the promise to deliver 1.5 million homes is looking shaky at best.

In fact, reports from the FT suggest that government ministers have accepted defeat and plan to quietly stop mentioning it

The latest assessment in the Chartered Institute of Housing’s (CIH) UK Housing Review Autumn Briefing estimates that one million homes will be built over Labour’s five years in power. 

That’s just two-thirds of the goal, and 500,000 fewer homes than promised. Housing secretary Angela Rayner admitted in September that there was a “slim chance” ministers might hit the target, which was described as a “stretch target”. 

Since entering Downing Street in 2024, Labour has poured a sizeable amount of cash into the social and affordable homes programme.

The previously pledged £39bn will be topped up at the autumn budget with an extra £1bn. But the benefits of the programme won’t be seen until after the next general election. 

Prime Minister Andy Burnham also pledged to deliver the biggest postwar council housing programme in generations. But time is running out and the economic headwinds continue to offer a gloomy outlook. 

CIH chief executive Gavin Smart said: “These findings show that, while the government’s ambition is welcome, current delivery is not yet matching the scale of the challenge. If we are to build the homes the country needs, councils, housing associations and developers must have the certainty and investment necessary to increase supply. Social and affordable housing will be critical to achieving that goal.  

“The upcoming budget is an important opportunity for the government to back its housing ambition with the investment needed to boost delivery, bringing forward the funding announced at the spending review.” 

Read more:

• Labour urged to set social housing targets and kickstart a ‘council house revolution’
• Four problems Labour must solve to deliver the social housing Britain urgently needs
• Why we need to change the narrative for social housing

But that’s not to say there isn’t hope to be found. The Royal Institute of British Architects recently unveiled the winner of the Stirling Prize – the award for Britain’s best new building. Lion Green Road in Coulsdon, South London, designed by Mary Duggan Architects with RUFFARCHITECTS, came out on top.

The suburban scheme delivered 157 dwellings, divided across five blocks, on a former car park on a sloping site that varies in height by eight metres. The development’s combination of privately owned and socially rented homes for Croydon Council is being held up as an example of what’s possible. 

RIBA’s president Chris Williamson said: “At a time when we urgently need to deliver more homes, Lion Green Road shows that density can be achieved without compromising the quality of the places we create.” 

Housing minister Matthew Pennycook added: “Council estates still suffer from negative stereotypes, but
a new wave of council housing is embracing innovative, imaginative and attractive design.” 

The UK Housing Review Autumn Briefing Paper is available as a free download  

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