Theresa May has announced an extra £2 billion in longer-term funding in order to provide tens of thousands of new affordable homes.
The prime minister said on Wednesday that the money will fund schemes over the next years, with a focus also on ending the “stigma” of social housing.
Social housing “should not be tucked away behind the private homes, out of sight and out of mind,” May said at the National Housing Federation (NHF) conference.
“You said that if you were going to take a serious role in not just managing but building the homes this country needs, you had to have the stability provided by long-term funding deals,” she said.
“Well, eight housing associations have already been given such deals, worth almost £600m and paving the way for almost 15,000 new affordable homes. And today, I can announce that new longer-term partnerships will be opened up to the most ambitious housing associations through a ground-breaking £2 billion initiative.”
“Under the scheme, associations will be able to apply for funding stretching as far ahead as 2028/29 – the first time any government has offered housing associations such long-term certainty.”
“Doing so will give you the stability you need to get tens of thousands of affordable and social homes built where they are needed most, and make it easier for you to leverage the private finance you need to build many more,” she added.
The prime minister said the funds will be available from 2022 and will be used for long-term constructions.
Labour’s shadow housing secretary John Healey criticized the prime minister and said her promises “fall far short of what’s needed”.
“The reality is spending on new affordable homes has been slashed so the number of new social rented homes built last year fell to the lowest level since records began,” he said.
“If Conservative ministers are serious about fixing the housing crisis they should back Labour’s plans to build a million genuinely affordable homes, including the biggest council house-building programme for over 30 years.”