Responding to the Deputy Prime Minister’s announcement on reforming the National Planning Policy Framework, London boroughs have reiterated their strong support for housing growth.

London faces the most severe housing pressures in the country. London Councils estimates one in 50 Londoners is currently homeless and living in temporary accommodation, including at least one homeless child in every London classroom. More than 320,000 households are on waiting lists for social housing in the capital. 

Boroughs have long sought to turbocharge housebuilding to encourage economic growth and address the homelessness crisis. London Councils points to the pipeline of 286,000 homes that have already been granted planning permission in London but are waiting to be built, while reiterating concerns about serious challenges to housing delivery.  

The cross-party group welcomed the Deputy Prime Minister’s declaration that councils will have more freedom over how they use the money raised from Right to Buy council house sales. Boroughs have called for fewer restrictions on the use of these sales receipts, arguing that they undermine boroughs’ ability to invest locally in replacement homes and that too much funding is redirected to the Treasury.

Cllr Peter Mason, London Councils’ Executive Member for Planning & Skills, said: 

“There is no doubt that more homes are urgently needed in London and indeed around the country. Boroughs are strongly pro-housing growth and welcome the government’s focus on boosting housebuilding – including affordable homes and social housing.

“New flexibilities over how we use Right to Buy sales receipts are a big step in the right direction. Reducing restrictions will help ensure more money raised from council house sales is better invested locally in building replacement homes.

“London boroughs have a good record in granting planning permission, but construction of new homes has seriously stalled in the capital and we’re keen to work with the government in addressing this. As well as improving the planning system, we also need action on the other major factors undermining housebuilding – including the lack of local infrastructure, construction skills shortages, and insufficient long-term funding for affordable homes.”