housing in london – the mayor’s new role
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Housing in London – the Mayor’s new role. Alan Benson - GLA. Overview. The strategic drivers Housing need and supply The devolution of housing powers Towards the Mayor’s Housing Strategy . The strategic drivers . The case for London . - PowerPoint PPT PresentationTRANSCRIPT
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Housing in London – the Housing in London – the Mayor’s new roleMayor’s new roleAlan Benson - GLA
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OverviewOverview
• The strategic drivers • Housing need and supply • The devolution of housing powers • Towards the Mayor’s Housing Strategy
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The strategic drivers The strategic drivers
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The case for London The case for London
•London’s economy drives Britain’s economy - is not in competition with it
•Housing is a threat to London’s economic growth and social wellbeing
•Need to increase supply and improve quality
•Need for investment in infrastructure to maximise major opportunities
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London population 1901-2001
0
2
4
6
8
10
1901 1911 1921 1931 1941 1951 1961 1971 1981 1991 2001
Pop
ulat
ion
& h
ouse
hold
s (m
)
0
1
2
3
4
5
Ave
rage
hou
seho
ld s
ize
Population Households UK AHS
London’s demography London’s demography
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New home buildingNew home building
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3+ bed new homes 3+ bed new homes 1991/2 2003/4London 26% 19%South East 49% 58%South West 49% 63%East 50% 69%West Mids 59% 63%East Mids 64% 76%Yorks+H 67% 65%North West 71% 70%North East 75% 79%
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Homelessness Homelessness Supply, demand and temporary accommodation
20,00025,00030,00035,00040,00045,00050,00055,00060,00065,000
1991/ 9
2199
2/ 93
1993/ 9
4199
4/ 95
1995/ 9
6199
6/ 97
1997/ 9
8199
8/ 99
1999/ 0
0200
0/ 01
2001/ 0
2200
2/ 03
2003/ 4
Num
ber o
f hou
seho
lds
Homeless households in TA Homeless acceptances New social lettings
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OvercrowdingOvercrowdingSevere overcrowding
0.00
0.50
1.00
1.50
2.00
2.50
1981
1991
2001
Perc
enta
ge o
f ho
useh
olds
London Rest of England
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Affordability ratiosAffordability ratios
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Income inequality Income inequality Income distribution of Londonerson UK quintiles (AHC) - 2000/ 01
0%
20%
40%
Bottom fifth Next fifth Middle fifth Next fifth Top fifthNational income quintiles after housing costs
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Climate change Climate change
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Housing need Housing need and supplyand supply
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Housing need Housing need • Need 35,400 new homes per annum• 66% should be affordable • Social housing• 42% of new social should be 4 bed plus
• Market • 34% of new market should be 3 bed plus
• Intermediate• little demonstrable “need” – requires policy steer
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London’s housing capacityLondon’s housing capacity
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The London Plan The London Plan London Plan targets• 30,500 homes• 50% affordable (70/30 social:intermediate) • 100% lifetime, 10% wheelchair accessible
London Plan delivery of new homes- 1999: 17,000 - 2005/6: 24,000 (new) 28,000 (total)
Affordable homes - 1999: 6,000 - 2005/6: 8,000 (new) 12,000 (total)
But concerns over mix and size
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Residential land pricesResidential land prices
012345678
Aut83
Spr85
Aut86
Spr88
Aut89
Spr91
Aut92
Spr94
Aut95
Spr97
Aut98
Spr20
00
Aut200
1
Spr20
03
July2
004
Jan20
06
Mill
ions
England and Walesexcluding London
Inner and Outer London
South East England
Source: VOA
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The planning pipeline The planning pipeline
10000
20000
30000
40000
50000
6000019
87
1989
1991
1993
1995
1997
1999
2001
2003
2004
/5
Year
Net A
dditi
onal
Dwe
llings
Approvals Completions
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Residential constructionResidential constructionLondon's residential construction sector,
1995-1999Barratt12%
Fairview12%
Bellway6%
St George8%
Berkeley (exc St.George)8%Next Five Largest
19%
35 Others35%
Ownership of land with residential planning permission by number of schemes with private units
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Devolution of housing powersDevolution of housing powers
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The road to housing devolution The road to housing devolution
• Feb 2003: Communities Plan • Introduced regional housing strategies• Set up Regional Housing Boards
• Jun 2003: LHB set up and first London Housing Strategy published
• Mar 2004: HMT Barker Review - recommends merging regional housing and planning
• Nov 2006: GLA Bill - Review of Mayor’s powers
• Oct 2007?: New powers commence
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Review of Powers - other areas Review of Powers - other areas
• Planning• Power to ensure local development plans are in compliance with London Plan• Positive powers on strategic planning applications
• Other strategies • Adult skills strategy • Energy and climate change strategy • Health inequalities strategy
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New housing powersNew housing powers
• The responsibilities of the London Housing Board will transfer to the Mayor • Mayor will publish a statutory Housing Strategy and Strategic Housing Investment Plan• Mayor will decide the broad distribution of the affordable housing part of the Regional Housing Pot
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Strategic powersStrategic powers
• Local housing strategies will be required to be in general conformity, includes:• “any strategy [or] other statement of the local housing authority’s policies or proposals related to housing”
• Implementation model is existing statutory strategies not London Plan• Need to clarify “reach” • Need to consider sub-regional position
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Investment powers – the RHPInvestment powers – the RHP
(1) Apportioning the overall pot
£2,300m The Mayor will have the same powers as the LHB
(2a) The council decent homes programme
£420m The Mayor will not be involved
(2b) The HC affordable housing programme
£1760m The Mayor will make decisions on the broad allocation
(2c) Other funding: estate regen, private sector renewal etc)
£120m The Mayor will have the same powers as the LHB
(Based on 2006/8 figs)
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Strategic Housing Investment PlanStrategic Housing Investment Plan
• Drawn up and agreed by all key agencies - (GLA, LDA, HC, EP, TfL, LTG DC, GOL, LCs)
• Ambitious aims:• Cover all housing related investment • Set out common priorities• Align the activities of public sector investors • Maximise private sector leverage • Co-ordinate housing and infrastructure investment • Framework for innovative delivery models
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TimetableTimetable
Nov 2006 - Queen’s SpeechNov 2006 - “Towards the Mayor’s Housing Strategy” Feb 2007 - Consultation on this closesMay 2007 - GLA Bill gets Royal Assent Jun 2007 - Draft (non-statutory) Housing Strategy Jul 2007 - Strategic Housing Investment Plan Aug 2007 - Comprehensive Spending Review Oct 2007 - GLA Bill commencement 2007/08 - Statutory consultation on Housing Strategy and Strategic Investment Plan
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Housing structures Housing structures
• Strategy• Renewed Mayor’s Housing Forum• Sub-groups to engage wider specialists • Equalities Standing Group
• Investment• Housing Investment Panel• Developer engagement
• Scrutiny - London Assembly
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Towards the Mayor’s Towards the Mayor’s Housing StrategyHousing Strategy
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Key issues for new strategy Key issues for new strategy
• Putting people first • delivering housing’s enabling role
• Building more homes • tackling the barriers to delivery
• The right homes in the right places• shifting the mix – spatial/tenure/size
• Creating places where people want to live• design led development
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Key issues for new strategy Key issues for new strategy
• Reviewing intermediate housing • is it giving us what we want?
• Promoting choice and mobility • better matching need and demand
• Tackling climate change • top priority for change
• Other issues • list is not exhaustive
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[email protected]@london.gov.uk