Renew – gathering evidence and pushing housing-led regeneration up the agenda
Thank you to everyone who responded to the Renew Call for Evidence looking into housing-led regeneration in the North.
NHC update on the Spring Forecast 2026 speech
On 3 March 2026, the Office for Budget Responsibility (OBR) published new forecasts for the economy and public finances. The Chancellor responded to the forecast in her Spring Statement but as expected, there were no major policy announcements.
The Government resolved to make major tax and spending announcements once a year, at the Budget, which is expected to be held in the autumn. They made a virtue of the ‘stability’ from having only one fiscal event a year and the forecast states that taxes are not changing and neither is spending.
So, despite it being a low-key event, it is still important in showing what effect the last Budget and the Government’s policies have had.
The Chancellor referenced the current global instability, but the OBR forecasts do not take into account any potential impact from a jump in energy prices triggered by the conflict in the Middle East. The OBR states it “could have very significant impacts on the global and UK economies.”
In the Chancellor’s speech she also referenced the importance of “…building growth…in every part of Britain…” and “…creating capacity in our economy through affordable housing…”.
The Chancellor stated that the forecast shows the Government’s plan is the right one, stating “Inflation is down, borrowing is down, living standards are up and the economy is growing.”
Her speech stated that there have been six interest rate cuts since the last general election.
The OBR projects that inflation will fall from 3.4% in 2025 to 2.3% in 2026, and then again to 2% from 2027 onwards. The OBR forecast that the 2% target for the UK inflation rate will be met in ‘late 2026’. The chancellor predicted that people will be more than £1,000 a year better off by the next election, after accounting for inflation.
She cited discounts on energy costs, trade deals, investment in infrastructure and skills, funding for further education and planning reforms as contributing to building growth in the economy.
- The housing market – OBR forecast that house price inflation will average just over 2.5% over the rest of the forecast period, broadly in line with growth in average incomes. Net additions to housing stock are expected to fall from an average of 260,000 a year in the early 2020s to a low of 220,000 in 2026-27, as recent muted housing starts feed through. It is then expected that net additions could rise sharply to just over 305,000 by 2030-31, reflecting the impact of planning reforms.
- Planning reforms – the forecast has a positive view of the Government’s planning reforms which are expected to boost housing supply, but the reforms’ impact on net additions has yet to meaningfully materialise. Progress will be evaluated again in the Autumn.
- Local authority finance – The latest 2024-25 estimate of local authority borrowing is £8 billion higher relative to the March 2025 forecast.
- Net borrowing this year could be around 8% higher than 2024-25.
- The forecast confirms that the financial positions of many Housing Revenue Accounts (HRAs) have deteriorated sharply.
- HRA spending on repairs and maintenance increased by 56% between 2019‑20 and 2025‑26, while rental income increased by only 29% over the same period.
- The OBR highlights that many HRAs are “effectively loss‑making” and many councils have been required to sell housing stock or borrow to remain compliant with the legal requirement not to run a long-run deficit on the HRA.
- The forecast confirmed that rising demand for statutory services – such as temporary accommodation, asylum accommodation and social care – continues to present a significant risk to local authority finances.
- “Together, housing services and social care for both adults and children now make up around 30 per cent of local authority service expenditure in England, compared to around 20 per cent in 2015-16.” OBR March 2026 Economic & Fiscal Outlook
- Unlocking investment in urban areas – the Chancellor’s speech referenced the changes to the Green Book, which are expected to unlock investment in urban, rural and coastal communities as well as Pride in Place investment.
- Energy Prices – the Chancellor repeated the pledge from last year to cut energy bills by £150 in April.
- Welfare Spending – Welfare spending is forecast to rise this year by £18 billion (5.8%) to £333 billion or 10.9% of GDP. The Chancellor stated the Government will achieve the “biggest reduction in child poverty since records began” and cited scrapping the two-child limit.
- Unemployment – the unemployment rate is expected to peak at 5.3% this year and then fall gradually to 4.1% by 2030. The Chancellor stated the Government is already taking action, reforming apprenticeships through its youth guarantee with more plans to be set out in the coming weeks.
NHC Reaction
Following the Spending Review in June 2025, which delivered transformative announcements for the social housing sector – including a £39 billion investment into a ten-year Social and Affordable Homes Programme – what the sector needs now is stability and support to deliver. So, the statement which leaves current policy in place to be delivered is welcome, as is the recognition of the importance of place-making and of affordable housing for growth.
Further reading
The Government has recently made several significant housing policy announcements including launching the Decent Homes Standard and the Warm Homes Plan, confirmation of rent convergence, and an update on Minimum Energy Efficiency Standards. For detail about how these announcements impact housing in the North you can read our member briefing.
In addition, bidding opened through Homes England on 24 February for the new £39 billion Social and Affordable Homes Programme. The NHC warmly welcomes the new programme, which will enable members to plan the development of new homes with confidence and deliver the social and affordable homes that our communities desperately need. You can read our update on the bidding process here.
Bidding open for £39 billion Social and Affordable Homes Programme
Housing Minister Matthew Pennycook MP has written to the social housing sector announcing that the groundbreaking £39 billion Social and Affordable Homes Programme is now open for bids.
He says in the letter:
“Taken together with the Spending Review package, we have now provided a decade of certainty across grant funding, rents, regulatory standards and clear ambitions for the sector. We are asking providers to take the next step now via bidding for SAHP to translate this certainty into ambitious delivery plans.
“By working together, we can ensure this becomes a reality: investing in existing homes so they are safe, decent and warm, and delivering the biggest increase in social and affordable homes in a generation. I look forward to continuing to work closely with you as we deliver a decade of renewal.”
You can read the full letter here.
The NHC warmly welcomes the new programme, which will enable members to plan the development of new homes with confidence and deliver the social and affordable homes that our communities desperately need.
We have worked closely with the Government and have consistently highlighted the importance of a long-term programme which prioritises social rent and includes flexibility on regeneration. We have put forward the case for greater devolution to make sure it meets local priorities and enables housing providers to collaborate on delivery through housing partnerships.
The Government has listened and the new programme – 70 per cent of which will delivered outside of London – picks up on the needs of the North. Some major changes include more funding for social rent – 60 per cent of the total fund – and greater support for regeneration. The grounds by which ‘additionality’ can be demonstrated have been significantly expanded, and the new SAHP can fund a limited number of property acquisitions for regeneration purposes.
The new programme will be aligned to local priorities to a much greater extent. Each Established Mayoral Strategic Authority (EMSAs) will be able to set the strategic direction of the SAHP in their areas and establish programme priorities, including the types of property, tenure and individual sites that should be prioritised. In the North this will apply to Greater Manchester, Liverpool City Region, North East, South Yorkshire and West Yorkshire combined authorities.
Our briefing on the Social and Affordable Homes Programme prospectus can be viewed here. The prospectus provides further detail around how the fund will be delivered now that bidding is open.
Northern Housing Consortium recognised for outstanding workplace wellbeing
The Northern Housing Consortium (NHC) – the membership body for the social housing sector across the North of England – has been awarded the Better Health at Work Award in the Continuing Excellence category, as the organisation marks its 51st year.
In addition to the Continuing Excellence Award, the NHC were delighted to be presented with a special recognition award for our innovation. Judges highlighted a high-level of engagement in the NHC’s free health checks to all colleagues. They also praised our ‘Get it Done’ financial wellbeing campaign which gave colleagues the opportunity to complete some life admin in work time.
The Continuing Excellence award reflects the NHC’s focus on being one of the very best places to work in the region. The NHC, encompassing NHC Procurement, first achieved the Bronze award in 2022, swiftly followed by Silver in 2023 and Gold in 2024.
The award recognises employers that take a proactive, evidence-based approach to health and wellbeing at work, embedding good practice into everyday workplace culture. The NHC is now part of a select group of organisations that have achieved Continuing Excellence for their commitment to employee wellbeing.
Tracy Harrison, Chief Executive of the NHC, said:
“This award is something we’re incredibly proud of because it reflects our focus on people. We want the NHC to be a place where people feel supported, valued and able to be their best at work. Achieving Continuing Excellence shows that our focus on wellbeing isn’t a one-off or a tick-box exercise, but a core part of who we are, making the NHC a great place to work and attracting and retaining talented people.”
Wellbeing at the NHC is shaped by colleagues themselves through a staff-led wellbeing group, which has grown into a central part of the organisation. The wellbeing group works collaboratively, helping to identify workplace wellbeing priorities and forming strategies to achieve these.
A special acknowledgement also goes to our Head of HR and Wellbeing Kay Wiseman, whose leadership has been instrumental in driving progress across both the NHC and NHC Procurement to create a culture that values health and wellbeing across every level in the organisation.
She said:
“From mental health and financial wellbeing to fitness, nutrition and first aid, we’ve focused on creating practical, inclusive initiatives that genuinely support everyday life.
“When people feel better, they’re happier, more productive, and the whole organisation benefits. The results speak for themselves, with a third of our staff with us for over ten years, and our headcount growing by over 30% in the last three years alone.”
Over the past year, the NHC’s internal wellbeing campaigns have included group activities, expert speakers, health checks, budgeting support and hands-on opportunities to build first-aid skills.
All colleagues also have access to mental health first aiders, an employee assistance programme and a dedicated wellbeing portal offering gym membership discounts, information on health services and 24-hour mental health support. A corporate flu jab scheme was also introduced in 2025 to further support staff health and wellbeing.
Better Health at Work assessors praised the NHC’s leadership and culture, noting a “comprehensive and proactive approach to workforce health, safety and wellbeing”. The NHC is now working towards achieving Maintaining Excellence in 2026, continuing to build on its wellbeing programmes as part of its wider people strategy.
Tracy Harrison added:
“We’re ambitious about the future, not just in the work we do across the northern housing sector, but in the kind of employer we want to be. Recognition like this helps us tell that story and reinforces our commitment to creating a supportive, inclusive and rewarding place to work.”
Those interested in career opportunities at the NHC should visit the LinkedIn page for upcoming vacancies.