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.