The Welsh Government is set to fall short of its target of 20,000 affordable homes in this Senedd term but expects to meet it by November 2026.
Official statistics published on Thursday show that 3,530 affordable homes were delivered towards the target in 2024/25, plus 370 long term social housing voids brought back into use. That takes cumulative delivery since April 2021 to 13,399 homes.
However, Welsh Government management information published at the same time shows that it will come closer to meeting the target than previously thought.
With a further 4,936 homes including voids expected to be delivered in 2025/26, the projected delivery is 18,652 homes (93 per cent of the target) by the end of April 2026. Cumulative delivery is expected to be 20,182 by November 2026.
These figures include both new build (which accounts for 78 per cent of the total) and acquisitions. Following a recommendation from the Affordable Housing Taskforce, acquisitions now include voids brought back into use via the Transitional Accommodation Capital Programme. There were 936 of these between 2022/23 and 2024/25.
Housing secretary Jayne Bryant said in a written statement: ‘When we set our target of an additional 20,000 low-carbon homes for rent in the social sector by 2026, we knew it was ambitious. But we also knew how much it mattered. That’s why we backed our commitment with over £2 billion of investment – the largest ever investment in social housing in Wales. And today’s data shows that investment is delivering results.’
Of the 3,530 homes delivered (excluding voids) in 2024 to 2025:
- 2,921 were for social rent (83 per cent)
- 344 were intermediate rent
- 162 were shared ownership
- 103 were affordable units delivered by other providers.
This was the highest annual output of affordable homes since records began in 2007/08 and was achieved despite big increases in construction costs.
The average cost to build a home via the Social Housing Grant Programme increased by 78 per cent between 2021/22 and 2024/25.
Jayne Bryant added: ‘This represents the strongest period of social housing delivery in nearly two decades, achieved despite the challenges of recent years – from the pandemic and inflation to supply-chain pressures caused by Brexit.
‘Housing remains one of this Government’s top priorities – because a fairer, healthier, more prosperous Wales begins at home.
‘I want to thank our local authorities, housing associations, small and medium sized builders and community partners whose dedication and collaboration have made this possible.’
Clarissa Corbisiero, deputy chief executive of Community Housing Cymru, said: ‘Today’s figures show what long-term ambition and certainty can deliver.
‘Despite challenging headwinds that have made building homes harder, from the pandemic to successive economic crises, collectively we are delivering 79% more affordable homes than at the start of the Senedd term.
‘However, there is more to do. Too many people in Wales are still living in homes that are unaffordable, unsuitable or unsafe. It does not have to be this way.
‘Housing associations are delivering 74 per cent all new affordable homes. Today’s data shows that, alongside continued political ambition and commitment in the next Senedd term, the housing sector is ready and able to deliver so that everyone in Wales has a safe and affordable place to call home.’
Chartered Institute of Housing Cymru director Matt Dicks said: ‘Wales is currently experiencing a deepening structural housing emergency. Currently 90,000 households representing 170,000 individuals including 34,000 children are waiting for a social home in Wales. Whilst the additional affordable homes delivered in 2024/25 are welcomed we need to increase the pace and scale of this delivery.
‘Our social housing providers are committed to providing the homes we need to end the housing emergency but have repeatedly informed us through our series of sector snapshot surveys that to do this they need more investment for development, the planing system blockers to be tackled and the availability of viable land to be looked at. They have also informed us that housing needs to be a bigger priority for government to ensure that it has the right level of investment to deliver the number of homes we need at pace and scale to end the housing emergency.’