Alongside a raft of wider announcements, the Government last week provided additional details on the future of grant funding for affordable housebuilding. The next grant-funding programme had already been announced at the spending review, but taken together with last week’s announcements, we now have a clearer idea of what the next programme will look like.

The next programme will be renamed the “Social and Affordable Homes Programme (SAHP)” and:

• Will deliver a total of £39 billion over ten years from 2026 – this is almost double the current level of per year spending (£3.9 billion vs £2.3 billion).
• At least 60% of the total funding will be for social rent.
• 70% of the funding will be outside of London reflecting a shift of funding to other areas of the country, like the North.
• Will support regeneration sites where they provide a net increase of homes on a site, maintaining the regeneration flexibilities introduced into the current programme in 2023.
• Strategic partnerships will continue through a competitive bidding round opening this winter, including bids for the entire ten-year programme.
• Established Mayoral Strategic Authorities will be able to set the strategic direction of the programme in their respective areas but there will be no ring-fenced funding allocation for specific regions outside of London.
• There will no longer be any targets for the delivery of specific types of homes e.g. rural or supported housing.

While we now know a lot about the next programme, there are still areas where we await further detail, including grant rates, how Homes England will work in its new ‘more regional model’, and exactly how strategic authorities will be able to influence programme delivery in their areas. We hope that these details and more will be provided in the SAHP prospectus, due to be published this Autumn.

The Northern Housing Consortium welcomes many of these details and many of them were included in our submission to the Spending Review, including the ability of strategic authorities to influence programme delivery in their areas, the continuation of regeneration flexibilities and ten-year strategic partnerships. We will continue to work with our members and government officials to ensure that the final SAHP prospectus reflects the needs of the North as much as possible.

Earlier in June, we were pleased to welcome Selvin Brown and officials from the Department for Energy Security and Net Zero (DESNZ) to see progress being made by NHC members in Greater Manchester to increase energy efficiency of homes.

This Greater Manchester tour follows a successful visit we organised with Selvin and his team to Government funded retrofit projects in South Yorkshire in May, and provided a useful opportunity to engage with DESNZ officials in the run up to the Spending Review.

The visit included a walking tour of Moss Side with NHC members MSV Housing – hearing about their Social Value initiatives, visiting a number of properties that have received successful retrofit works using DESNZ grant funding, and speaking with local residents about the positive impact of the works on their energy bills and wellbeing.

We also saw MSV Housing’s flagship ‘Cosy Home’ project which showcases how traditional, pre-war, brick-built, terraced houses can be made more energy efficient. Similar retrofit measures are being rolled out to 1200 hard-to-treat properties.

Over lunch, members of the Greater Manchester Housing Providers met and shared their experiences with Selvin and his team, including how they had experienced delivering home improvements using grant funding through the Warm Homes: Social Housing Fund (WH:SHF).

Later in the day we visited Irwell Valley Homes’ £50m project in Sale West – which includes energy efficiency upgrades to existing homes, as well as multiple phases of new-build development to provide much-needed new affordable homes.

The Sale West scheme is a prime example of how multiple different funding sources can be pulled together to deliver large-scale physical improvements across an entire community. We also heard from a local resident about their experience living in the area and how the scheme has improved the estate and her family’s wellbeing.

It is part of our work to ensure future funding programmes bring maximum benefits to communities in the North, by linking up government officials with NHC members to share what’s happening on the ground.

A big thank you to all those involved!

In June the NHC brought members together to discuss the increasing temporary accommodation crisis in the North of England. The session was organised in response to member feedback highlighting rising homelessness and greater reliance on often inadequate temporary accommodation. In bringing together the NHC’s registered provider and local authority members, the session underlined both the organisational and human impact of the issue. Offering hope, the afternoon also highlighted the new thinking and opportunities for collaboration that was helping areas across the North to reduce the use of temporary accommodation, and where it was necessary ensure stays were as safe and short as possible.

Data from the latest edition of the Northern Housing Monitor provided context for the meeting. High housing costs and a lack of genuinely affordable housing has created across the northern regions a distinct form of housing poverty.  With many northern households shut out from housing affordability and therefore housing security, this housing poverty manifested in households having to squeeze already limited spending and being particularly vulnerable welfare benefit reductions and interest rate spikes.

A lack of affordability in private tenures continues to be a key driver of homelessness and housing waiting lists have continued to expand. Unsurprisingly, the use of temporary accommodation is increasing sharply and is becoming a huge financial strain. There were 12,660 northern households in temporary accommodation by mid-2024, within these households were 14,210 children.

Attendees were clear that reductions in funding for homeless services had created substantial challenges for local authorities and partners. A lack of capacity and resource had created a process reliant on temporary accommodation. The reality for many was a well-meaning but ultimately reactive service that created new inefficiencies. With Local Authorities needing to prioritise urgent need, little resource was available for preventative measures, better management of accommodation, or move-on planning.

Despite this, the day showed the efforts NHC members were making to improve services and outcomes for households. Liverpool City Council described how they were undertaking a significant transformation programme designed to shift from a crisis driven response to a prevention focussed service. Although already underway, this work has been supported by the Government’s public service reform agenda. Here, the local authority has received support from the Government to undertake a ‘test and learn pilot’ aimed at reducing rising costs and inefficiencies in how temporary housing is provided. The pilot is proving valuable in providing capacity to get to grips with data, providing a framework to monitor and improve services week-on-week, and instilling a team effort mentality that drew in wider teams and stakeholders.

Leeds City Council were undertaking a similar process. A value placed on critical self-reflection had supported officers to ‘not stand still’ and instead look to continuously adapt to context. This had led to a reorganisation of team resource and a renewed approach to performance management. The outcome was an improved customer pathway built around face-to-face contact in neighbourhood settings, a more appropriate use of digital services, and early advice. Seeking to maximise housing options, the local authority had also invested in outreach to the Private Rented and social housing sectors. Initiatives included a Rent Guarantee Scheme, an expanded Landlord Support Team, and a responsive re-housing scheme with registered providers.

This kind of innovative approach to collaboration was also exemplified by Bury Council and Irwell Valley Housing Association. Using funding to reduce the use of B&B’s, a partnership had been created whereby previously void properties were refurbished and let to homeless families on a minimum 5yr lease. Entering on starter tenancy agreements, the option was available for the household to ultimately remain in the property. If they chose not to, the property remained ring-fenced for temporary accommodation. With collaboration between the local authority and registered provider extending to clear agreements around wraparound support, the initiative was seen as long-term solution with housing evolving from temporary to long term housing.

The session was an opportunity to hear about promising good practice but also reflect on issues which need further attention. Attendees agreed that investment was needed in supported housing to ensure those with complex needs are appropriately helped. Partnerships of the type between Irwell Valley and Bury Council were still needed to avoid registered providers facing additional mental health or community safety issues without support. Finally, without action on Local Housing Allowance rates, many households would continue to face the risk of homelessness.

Temporary Accommodation Crisis in the North was held in partnership with Campbell Tickell and Devonshires as part of the national Temporary Accommodation Network.

For further information or to discuss your own work in relation to any of the themes above, contact Liam Gregson, Senior Engagement Manager (Devolution and Place Lead) – liam.gregson@nhc.org.uk