Questions to the Mayor of London – answered at on 18 March 2021.
In the findings of your research into intermediate housing, respondents said that they: “felt that shared ownership (SO) is not an effective way to tackle the issue of housing within London. […] it doesn’t get to the root of the problem – a lack of supply of housing which forces up prices and creates a situation in which many people cannot afford to rent, let alone buy.” How will your housing and planning policies change in response to these findings?
The quote referenced in the question is an example of one theme of Londoners’ perceptions of London’s housing challenge and does not reflect the views of all respondents The Mayor’s Consultation on Intermediate Housing demonstrates that intermediate housing, in particular shared ownership, provides an important role in enabling housing providers to deliver homes that meet the housing need of a diverse range of Londoners and also provide cross-subsidy for Social Rent homes.
The Mayor’s priority is to build more homes overall in London, but focusing on homes at Social Rent levels, for which there is the most acute housing need. Over half of the homes delivered under the Affordable Homes Programme 2021-2026 will be Social Rent homes.
The Mayor’s funding for shared ownership supports the delivery of affordable housing in London. The 2017 Strategic Housing Market Assessment identifies a need for 11,869 intermediate homes each year between 2016 to 2041. Since 2016, the number of GLA-funded shared ownership homes started has increased from 3,394 in 2016/17 to 8,120 in 2019/20, and the number of GLA-funded Social Rent homes started has increased from 3 in 2016/17 to 7,156 in 2019/20.
The Mayor is also using his funding levers to improve the experience of shared owners. For example, there is a new expectation that shared ownership homes funded through the Affordable Homes Programme 2021-26 will offer 999-year leases, or the longest lease allowed by the headlease.