The new ten-year Social and Affordable Homes Programme represents a significant increase in funding, almost doubling the previous five-year, £12.3bn Affordable Homes Programme which had aimed to build 130,000 homes by 2026.

The UK government stated that the decade-long commitment is designed to provide long-term certainty and stability for councils, developers, and housing associations.

The strategy is built on a five-point plan:

1. Deliver the biggest boost to grant funding in a generation
2. Rebuild the sector’s capacity to borrow and invest in new and existing supply
3. Establish an effective and stable regulatory regime
4. Reinvigorate council housebuilding
5. Forge a renewed partnership with the sector to build at scale

Deputy Prime Minister and Housing Secretary Angela Rayner said: “We are seizing this golden opportunity with both hands to transform this country by building the social and affordable homes we need, so we create a brighter future where families aren’t trapped in temporary accommodation and young people are no longer locked out of a secure home.

“With investment and reform, this government is delivering the biggest boost to social and affordable housing in a generation, unleashing a social rent revolution, and embarking on a decade of renewal for social and affordable housing in this country.

“That’s why I am urging everyone in the social housing sector to step forward with us now to make this vision a reality, to work together to turn the tide on the housing crisis together and deliver the homes and living standards people deserve through our Plan for Change.”

Homes England – the UK government’s housing and regeneration agency – will be responsible for delivering the majority of the funding, with up to 30% of funding – up to £11.7bn over the 10 years – being used to support housing delivery from the Greater London Authority in the capital.

The long-term nature of the Social and Affordable Homes Programme will also offer more certainty for developers to invest and effectively plan housebuilding for the future, compared to the previous five-year £12.3bn 2021-2026 Affordable Homes Programme.

The last five year 2021-26 programme averaged £2.3bn per year – this means the UK government will be spending almost double this on affordable housing investment by the end of this Parliament (£4bn in 2029/30).

To achieve the ambition of delivering more social and affordable housing, the UK government is issuing a ‘call to arms’ to everyone with a role in social and affordable housing to prove they can deliver at scale and at pace. And as part of this effort, the UK government will work with the sector in the coming months to agree a joint overall target on how many social and affordable homes can be delivered overall.

A new long-term 10-year settlement for social housing rents will be introduced from April 2026 to provide the social housing sector with the certainty it needs to reinvest in existing and new housing stock.

The UK government is also publishing a consultation on how to implement a convergence measure, with options for this being capped at £1 or £2 per week – with a final decision to follow at this year’s Autumn Budget.

Further views will be sought on a new Decent Homes Standard which will modernise the standard, with proposals that hold tenant safety at their core but remain proportionate and affordable for providers to deliver. Views will also be sought on updating standards to make sure homes are warm and efficient through a Minimum Energy Efficiency Standard for the social rented sector. This is all alongside work to implement Awaab’s Law – which mandates that social landlords must investigate and address hazards like damp and mould within specific timeframes.

The UK government has also set out a package of wider reforms to the Right to Buy scheme to protect vital housing stock and to enable councils to ramp up delivery of new homes. This follows the reduction in maximum cash discounts that was implemented in November 2024.  

This package complements work already taking place to support UK building including through the updated National Planning Policy Framework, the landmark Planning and Infrastructure Bill and a new National Housing Bank to get more spades in the ground.

Minister for Energy Consumers Miatta Fahnbulleh said: “Everyone deserves to live in a warm, secure and affordable home, which is why we are setting out bold plans today to transform housing over the next decade.

“This includes proposals to introduce an energy efficiency standard for social housing for the first time ever, helping tenants benefit from cheaper energy bills and more efficient homes.”