Foundations for the Future: A new model for social housing

The Foundations for the Future: a new delivery model for social housing, report was published 23 September 2024, by the Royal Institute of British Architects (RIBA), and proposes building new homes on publicly-owned sites to help deliver new social housing.

The report sets out a model to create a pipeline of new social housing, reducing the need for continuous central government funding. It proposes that local authorities in England receive a fixed initial investment from central government in order to:

• Build new homes on land which is free at the point of use, thereby eliminating or reducing land cost, leaving only construction costs
• Deliver mixed-tenure developments with both social and market homes
• Sell the market homes to create an income stream, and reinvest all proceeds to build more homes, making the model almost self-sustaining, according to RIBA analysis
• The model addresses the urgent need for more social housing, with almost 1.3 million households currently on waiting lists – the highest since 2014. Right to Buy led to the sale of 118,000 social homes between 2012/13 and 2022/23, but only funded 41,000 new social homes over the same period, resulting in a net reduction in social housing stock.

Over 30 years, RIBA’s model delivers £2.23 worth of social value for every £1 invested. This accounts for the economic benefits of providing social housing, such as increased employment and improved health and education outcomes.

We spend £1.24 billion every year on reducing homelessness in England, including temporary accommodation. The report shows that a one-off investment of the same amount could fund over 20,000 new homes (including over 13,000 social homes) over ten years.

RIBA Chair of the Board of Trustees Jack Pringle said:

“For most people experiencing housing insecurity, social housing is the only route to an affordable, secure home. The need for social housing is greater than ever, and public sector provision is the only way to build it at the scale required.

This model shows how resources can be allocated to help to create a new generation of social homes while minimising other costs, but it’s just one piece of the puzzle. By demonstrating a different approach to housing delivery, we hope to encourage new ways of thinking, either by building on our model or through complementary initiatives.

Of course, new homes must be accompanied by the necessary amenities and infrastructure such as schools and public transport to create well-designed places that stand the test of time.

To meet the Government’s target of 1.5 million new homes by 2029, we need to think differently – and act now. As architects, we stand ready to tackle this challenge head on; to design and build the next generation of quality homes surrounded by vibrant communities that stand the test of time.”

to download the report follow this link Foundations for the Future: a new delivery model for social housing.

This article was issued via RIBA Press Release as "Reduce cost of delivering social housing by using public land and reinvesting profits, says RIBA report" dated 23 September, 2024.

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