Rayner Prioritises Affordable Homes as Reeves Cuts Infrastructure

Housing Secretary Angela Rayner has announced that the delivery of social and affordable homes will be her “number one priority,” as the government prepares for a significant planning announcement this week. Rayner outlined her commitment to addressing the housing crisis in an article for The Guardian, emphasising the importance of investing in social and affordable housing as a crucial step towards the construction of 1.5 million homes.

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Investment in social and affordable housing is essential to “ensure everyone has a secure roof over their head,” Rayner wrote. “That’s why we will take action to inject confidence and certainty into the social housing system, so that councils and private providers can get back to building.”

The forthcoming announcement on the reformed National Planning Policy Framework (NPPF) is anticipated just a day after Chancellor Rachel Reeves is expected to reveal cuts to infrastructure spending. The government is anticipated to detail its “strategic approach” to green belt development, prioritising the use of so-called “grey-belt” land for building and introducing “golden rules” for development.

The Labour minister criticised the previous government’s Affordable Homes Programme, launched in 2020, which aimed to deliver up to 180,000 homes. Rayner claimed the programme is unlikely to meet even a quarter of its target, underscoring the need for a renewed focus on affordable housing delivery.

The Ministry for Housing, Communities and Local Government is set to publish its reformed NPPF tomorrow. The previous version of the framework, released last December by then-Housing Secretary Michael Gove, will undergo significant reforms under the new Labour government to revitalise the sector.

In a bid to boost housebuilding, the government has already announced the reintroduction of mandatory housing targets. According to a report in The Times, the standard method for determining these targets could be adjusted to increase them by 50%. Rayner is reportedly considering changes to affordability assessments to account for potential population growth in areas where housing becomes more affordable.

These NPPF reforms are expected to follow a major announcement from the Treasury, due this afternoon, which will outline the results of its internal audit. Chancellor Reeves is poised to inform MPs that the country’s finances are in a worse state than previously anticipated, with reports over the weekend indicating a £20 billion gap has been identified.

Former Conservative Chancellor Jeremy Hunt has criticised Reeves for claiming surprise at the state of the nation’s finances, describing her comments as “beyond disingenuous.” He pointed out that the Office for Budget Responsibility publishes assessments twice a year, providing transparency about the country’s economic situation. The Institute for Fiscal Studies also identified a similar-sized gap following the March budget.

In an effort to avoid tax increases, Reeves is reportedly planning to scrap several major infrastructure projects, including the New Hospitals Programme, the Stonehenge tunnel, and various road schemes. According to The Times, she is also considering the sale of empty public buildings and reducing government spending on consultants.

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