A listed social housing investor said the industry is set for a boost under the Labour government today as ministers prepare to tear up planning laws and kick off a housebuilding drive.
Triple Point, which invests in supported accommodation, said in its half-year results that it is expecting a period of “greater political stability” that is “much needed in order for the UK to make meaningful steps to address its housing crisis.”
“The lack of suitable accommodation in the UK reflects a critical societal challenge and we welcome the Labour government’s focus on delivering social housing and their target of building 1.5m new homes within their first five years of government,” the firm said.
The industry had “cross-party support”, Triple Point added.
The prediction came as the firm reported a sharp slide in profits to £5.3m in the first half of the year, down from around £14m in the same period last year.
The government has set itself a target of building 1.5m new homes over the course of the parliament, which would require annual housebuilding levels to rise to around 300,000, levels last seen in the 1960s.
The latest available figures show that only 234,000 new dwellings were completed in the 2023 financial year, which was little changed in 2022.
To help meet its targets, the government has announced a set of major reforms to the planning system, including re-introducing mandatory housing targets and introducing a new category of ‘grey belt’ land.
However, the Resolution Foundation has warned that the government was unlikely to meet its targets unless it was willing to provide direct investment into building affordable homes.
“History suggests that the state also needs to play a role,” it said. “In the post-war housebuilding peak of 1968, two in five homes were built through the public sector.”