POLICY DEVELOPMENTS IN OTHER PARTS OF THE UK
UK
Housebuilding central to new government’s plans
Labour won the Westminster general election with housebuilding and planning key to its plans to boost economic growth.
As WHQ went to press, a flurry of announcements was expected to restore housebuilding targets, review green belt boundaries and recruit 300 extra planning officers in England.
Work was also expected to start on identifying sites for a new generation of new towns, reforming compulsory purchase and protecting newly built council homes from the right to buy.
Labour also pledged to complete the abolition of ‘feudal’ leasehold and bring back renter reform as legislative priorities ahead of a King’s Speech expected on July 17.
The party manifesto promised ‘the biggest boost to affordable and social housing’ for a generation but contained no new spending commitments to back up this ambition.
Plans for investment in decarbonisation were scaled back ahead of the election, with implications for consequentials for devolved governments.
Labour also declined to make any commitments to reverse Conservative cuts in benefits, including the two-child limit, benefit cap and bedroom tax.
ENGLAND
Election scuppers key reforms for leaseholders and renters
Key legislation on private renting was dropped and leasehold reform scaled back as a result of Rishi Sunak’s decision to call an early election.
The Leasehold and Freehold Reform Act, most of which applies in Wales, became law in the ‘wash-up’ process at the end of the parliament in May and features improvements for leaseholders including a ban on the sale of new leasehold houses and a big increase in the term of leases when they are extended.
However, it was shorn of key changes including a cap on ground rents and had already failed to implement a promised ban on the sale of all new leasehold homes.
The expedited passage of the Act meant that there was no opportunity for the Senedd to consider legislative consent or for the Welsh Government to seek amendments to delegate further powers.
The Renters (Reform) Bill, which mostly applies to England only, had already been delayed by a backbench Conservative rebellion. The election meant it ran out of time completely, leaving the 2019 Tory manifesto pledge to abolish Section 21 no-fault evictions unmet.
SCOTLAND
‘Dire’ statistics show ‘collapse in housebuilding’
Starts and completions of new homes fell significantly across the private and social sectors in Scotland in 2023/24.
Social sector completions fell by more than 30 per cent to 5,043, the lowest annual total since the pandemic, while starts were down 15 per cent.
Private sector completions were down 13 per cent at 14,589, meaning that completions across all sectors dipped below 20,000 for the first time in six years.
The declines threaten Scottish Government targets for affordable housing, with housing minister Gordon McLennan blaming UK Government cuts. He said: ‘While we remain focused on delivering 110,000 affordable homes by 2032, our capital block grant is being reduced by nearly 10 per cent, a loss of more than £1.3 billion by 2027-28. Likewise, our financial transactions budget – key to delivering affordable housing – has been cut by 62 per cent.’
Sally Thomas, chief executive of the Scottish Federation of Housing Associations (SFHA), said that the ‘dire statistics should serve as yet another wake-up call to the Scottish government about the extent of the housing emergency and the immediate challenges we face in delivering affordable rented housing.
‘Starts and completions of new homes are down in every sector and it’s clear we are seeing a collapse in housebuilding.’
NORTHERN IRELAND
Low-interest loan to fund intermediate rent
Communities minister Gordon Lyons announced a new funding opportunity for intermediate rent homes as a strand of the forthcoming Housing Supply Strategy.
The Intermediate Rent scheme will offer funding in the form of a long-term, low interest government loan to an operator who will develop a new supply of affordable homes for rent.
Mr Lyons said: ‘The funding available to deliver intermediate housing for rent will create a supply of homes offering another housing option for those who find themselves priced out of the mainstream rental market.’
Intermediate Rent is a new form of affordable rented housing, sitting between social housing and the private rented sector in terms of cost, and providing a high standard of quality and better security. It offers homes with discounted rents, making them available to those on lower incomes, and can offer another housing option to those struggling with affordability while either saving towards home ownership or while awaiting a social home.
WELSH GOVERNMENT
STOP PRESS: Chaos as ministers resign
Welsh Government was thrown into turmoil as the resignation of four cabinet ministers prompted Vaughan Gething’s decision to stand down as first minister and leader of Welsh Labour.
One of the four ministers who resigned was housing secretary Julie James. Jayne Bryant is the new cabinet secretary for local government and housing. However, it remains unclear how and when a first minister will emerge.
Rent standard extended to 2026
Housing secretary Julie James extended the rent and service charge standard for social housing by another 12 months to the end of March 2026.
The decision means that, subject to September’s consumer price inflation (CPI) figure falling between 0 per cent and 3 per cent, social landlords in Wales will be able to determine their own rent increases for their tenants for 2025-26, in accordance with the CPI plus 1 per cent formula and guidance set out in the rent standard.
The cabinet secretary said: ‘Extending the rent standard by a further year provides social landlords with early notification of the parameters within which any rent increase for their tenants must be implemented. It also provides tenants with the reassurance that efforts to support those experiencing severe financial hardship and not evicting tenants into homelessness where they engage with their landlords, will continue going forward.’
She added that early notification of the parameters for next year’s rent settlement would ‘enable all our partners working across the wider sector to be involved in and collaborate on developing future social rent policy for Wales. I am confident together we can deliver in this fundamental and far-reaching area of housing policy’.
Matt Dicks, national director at CIH Cymru, said: ‘Today’s decision will provide the sector with stability and certainty, enabling housing associations and stock holding local authorities to set rents at a level that are fair and affordable for their tenants.’
Minister sees Housing First in action
Housing secretary Julie James visited the Housing First project and some of its vital support workers in Anglesey.
Housing First operates through The Wallich, which works with more than 7,000 people across Wales every year. The service in Anglesey is the longest running Housing First project in Wales.
The project helps support getting people off the streets and into their own accommodations, maintaining their tenancies long-term and creating opportunities for people.
The support extends to people who are sleeping rough, sofa surfing, leaving secure mental health facilities, substance misuse treatment or prison and people who have been placed in temporary accommodation.
The project receives funding support from the Isle of Anglesey Council through the Welsh Government’s Housing Support Grant.
Julie James said: ‘Everyone deserves to have somewhere to call home, which is why we’ve set out a radical and ambitious plan here in Wales to prevent and end all forms of homelessness. Spotting the risks early and taking action is a vital part to achieving this, and projects like Housing First in Anglesey are making a real difference and supporting our plans.’
Legal advisory scheme for leaseholders launched
A new legal advisory scheme for leaseholders in medium and high rise buildings in Wales affected by fire safety issues means that they can now access legal advice backed by Welsh Government.
The launch of the scheme in May means that leaseholders, or responsible persons on behalf of leaseholders, can access the scheme through the Leasehold Advisory Service (LEASE).
An advisor will review the situation, assess if legal support is appropriate and then advise on how to proceed.
Where appropriate, LEASE will then act as a referral service to a dedicated legal services provider whose initial advice will be paid for by the Welsh Government.
Bills to come on building safety and homelessness
Before he resigned as first minister as WHQ went to press, Vaughan Gething set out his legislative priorities for the remainder of this Senedd term for ‘an ambitious future for a stronger, greener Wales’.
The programme includes legislation on building safety, homelessness, visitor accommodation and planning. A Building Safety Bill will fundamentally reform the existing building safety regime in Wales and address fire safety issues in buildings 11 metres and over in existing building stock.
A Homelessness Bill will include a package of reforms to help people remain in their homes and prevent anyone from experiencing homelessness.
Two more Bills will regulate visitor accommodation and give local authorities powers to introduce a visitor levy.
And, towards the end of this Senedd term, a Bill will be brought forward to simplify and modernise the planning law in Wales, which the first minister said is currently ‘increasingly inaccessible and overly complex’.
He added that Welsh Government would work with Westminster on UK legislation in the King’s Speech and introduce a programme of subordinate legislation to implement UK Acts made in the previous parliamentary session. This includes the Leasehold and Freehold Reform Act 2024, which provided powers for Welsh ministers to deliver reform in this area.
Housing secretary Julie James saw for herself how homes in Flintshire are benefiting from grant funding from the Optimised Retrofit Programme.
Flintshire County Council will receive around £5.7 million worth of ORP grant funding over three years and has committed to retrofitting around 600 homes.
The cabinet secretary visited homes undergoing works in the Leeswood area which were built between 1920 and 1950 and are of traditional wall construction with gas as their main heating fuel.
She said: ‘By retrofitting existing properties with solar panels, external and cavity wall installation and LED lighting, they will help to significantly reduce energy bills for residents.
‘The information we gather from the work will help us to evaluate the most cost-effective ways to heat our homes and help empower people in the future to make more informed choices.’
WALES
Development first for Valleys to Coast
Valleys to Coast has revealed details of its first development project outside Bridgend.
In a partnership with Castell Group Ltd, the development aims to deliver high-quality, energy-efficient affordable housing in Porth, Rhondda Cynon Taf, addressing a significant demand for new homes in the region.
The project is set to transform a brownfield site that once housed the YMCA building, destroyed by fire in November 2008. This redevelopment will not only provide essential housing but also breathe new life into a long-neglected area.
Darrin Davies, director of development at Valleys to Coast, said: ‘This is a landmark moment for us as we expand our efforts to provide much-needed affordable housing outside Bridgend. By redeveloping this site, we’re not only meeting the urgent housing needs of the community but also contributing to the area’s revitalisation.’
The project will feature 21 EPC A-rated one-bedroom flats, each equipped with non-fossil fuel heating and solar panels to help residents manage their cost of living. Employing innovative construction techniques, the homes will be built using a closed panel timber frame system. This method involves pre-assembling and pre-insulating timber panels off-site, ensuring both efficiency and quality.
All homes will be offered at social rent and allocated through the general needs waiting list managed by RCT Council via Homefinder RCT.
The homes are expected to be ready by Spring 2026. The next steps include setting up the site in the coming weeks and organising community engagement events to keep local residents informed and involved in the development process.
Planning boost for rural homes
Powys County Council has issued new planning guidance for rural horticultural workers needing homes on or near their small-scale enterprises.
This supplements national planning policy and the advice in Technical Advice Note 6 and has been developed to reflect the unique and specific circumstances of these enterprises. The new guidance aims to support growers in the preparation of a planning application for a rural enterprise dwelling, either temporary or permanent, and should help them get planning permission for a house in open countryside when they need it to be close to their crops. The need for the home is based on a number of tests, including the requirement for a full-time worker on site at most times and the viability of the business.
Judy Wayne, chair of Our Food 1200, one of several organisations that contributed to the new guidance, welcomed PCC’s commitment to supporting horticulture: ‘This new guidance provides a pathway for new entrants to farming to live on the land they are working, creating much-needed affordable homes in rural areas, and supports the transition to a more localised food system that provides good jobs and a reliable source of fresh, affordable food for local markets.’
Partnership to deliver Aberdare bungalows
Celtic Offsite is partnering with Newydd Housing Association and M&J Cosgrove to deliver much-needed homes to Bridge Road in Cwmbach, Aberdare.
The arm of United Welsh will provide the timber frame structures for 17 low-carbon bungalows from its factory in Caerphilly. Construction will then be completed on site by contractor M&J Cosgrove, with the homes later managed by Newydd.
Jodie Follett, partnerships manager of Celtic Offsite, said: ‘We are excited to partner with Newydd for the first time to deliver these new homes for Aberdare.
‘These bungalows will provide much-needed housing options for the local community, making use of energy efficient technology to reduce their impact on the environment.’
Simon Morris, development and assets director at Newydd Housing Association said: ‘When the opportunity arose for us to use timber frame structures built by Celtic Offsite merely 15 miles away from our site in Cwmbach we were delighted.
‘We knew that this would not only ensure that our investment would support local jobs and skills but also help us achieve our goal to produce a sustainable and energy-efficient housing development.’
‘In partnership with RCT Council and with support of Welsh Government funding into the development, the timber-framed bungalows will achieve Energy Performance Certificate A ratings due to the use of non-fossil fuelled heating systems and solar panels.’
The two-bedroom homes will be available for people seeking affordable housing through Homefinder, the Rhondda Cynon Taf County Borough Council housing list.
Passivhaus scheme slashes heating bills for tenants
Heating bills will be slashed by more than 80 per cent at a £6 million development of 21 low carbon homes in North Wales.
The properties at the Plas Penrhyn site in Penrhyn Bay in Conwy are being built to Passivhaus standards thanks to a ground-breaking partnership between Adra and Cartrefi Conwy.
The timber frames and posi-joists for the affordable homes are being custom made for the Adra scheme by Creating Enterprise, a subsidiary of Cartrefi, at its factory in Rhyl.
The development was paused for a while when the original construction company, Brenig, went into voluntary liquidation but is now up and running again after Beech Developments was appointed in its place.
Work has started on the site which will comprise a mix of social rent and intermediate rent properties of varying sizes, including a specially adapted one-bedroom bungalow, four two-bedroom bungalows, eight two-bedroom houses and eight three-bedroom houses.
The foundations for the first phase are in place with the frames to be trucked onto the site within weeks and the project due to be completed in around 12 months.
As well as being highly insulated and triple glazed, airtight seals mean that heat loss will be reduced so much that hardly any heating is needed at all.
Any additional warmth that’s required can then be provided by electric heaters, often powered by photovoltaic solar panels on the roofs.
All of the homes will also have mechanical ventilation and heat recovery systems fitted, extracting stale and moist air and blowing in fresh air that’s warmed by a heat exchanger unit.
According to Adra, the properties are virtually self-sufficient in terms of heating with very little energy required from the grid – and no fossil fuels being used directly by the properties.
Adrian Johnson, deputy chief executive of Cartrefi Conwy, who heads up Creating Enterprise, said: ‘We’re very proud to be working in partnership with Adra on this fantastic project and to be providing the timber frames and posi-joists to build these affordable, energy efficient and environmentally friendly homes for local people.’
Trivallis hands over Pentre homes
Trivallis completed its first development of 2024 by handing over the keys to eight brand-new homes in the heart of Pentre in June.
The scheme transformed the former Pentre Hotel site into much-needed housing, including a specially adapted one-bedroom ground floor flat.
The housing association collaborated with local contractor WK Plasterers on the project, which began in early 2023. The new homes now complement the existing properties in the neighbouring Llewellyn Place development, enhancing the overall look and community feel of the area.
Sarah Davies, development manager at Trivallis, said: ‘It’s wonderful to breathe new life into this historic building in Pentre. After completing the Llewellyn Place development next door, we recognised the potential to further improve the area’s look and feel while providing new homes to meet local housing needs.’
Councillor Mark Norris, cabinet member for prosperity and development at Rhondda Cynon Taf Council added: ‘It’s fantastic to see social housing grants being used not only to address local housing demand but also to bolster the local economy. As a council, we are incredibly supportive of projects that increase much-needed affordable housing, in accessible and sustainable locations. Even more so when derelict or empty properties are brought back into use.’
PUBLICATIONS 10 TO LOOK OUT FOR
1 Projections of housing tenure and poverty in older age in Great Britain, 2022 to 2040
UK Collaborative Centre for Housing Evidence, June 2024
2 Disabled people in the housing sector
Levelling Up, Housing and Communities Committee, June 2024
publications.parliament.uk/pa/cm5804/cmselect/cmcomloc/63/report.html
3 LGBTQ+ Housing & Homelessness Survey
UK Collaborative Centre for Housing Evidence, June 2024
housingevidence.ac.uk/publications/lgbtq-housing-amp-homelessness-survey/
4 First-time buyers – Age-old problems, modern solutions, a road map for change
Building Societies Association, May 2024
www.bsa.org.uk/information/publications/research-and-reports/first-time-buyers
5 Home again: a 10-city plan to rapidly convert empty homes into social rent homes
Shelter, April 2024
6 The finances and sustainability of the social housing sector
Levelling Up, Housing and Communities Committee, May 2024
publications.parliament.uk/pa/cm5804/cmselect/cmcomloc/60/report.html
7 Let down: rental regulations, subsidies and tenants’ rights across the English-speaking world
Social Market Foundation, April 2024
www.smf.co.uk/publications/anglosphere-rental-regulations/
8 Bringing private homes into social ownership can rewire the housing system
Joseph Rowntree Foundation, March 2024
www.jrf.org.uk/housing/bringing-private-homes-into-social-ownership-can-rewire-the-housing-system
9 Shared ownership
Levelling Up, Housing and Communities Committee, March 2024
publications.parliament.uk/pa/cm5804/cmselect/cmcomloc/61/summary.html
10 Unlocking affordable homes: Boosting affordable housebuilding to solve the housing crisis
YMCA, March 2024
www.ymca.org.uk/wp-content/uploads/2024/03/ymca-unlocking-affordable-homes-1.pdf