How DLUHC and DWP mark their homework

With a new secretary of state, a new department and a new name, what are the government’s real priorities when it comes to housing?

Some big clues dropped in an intriguing supplementary document published alongside the Budget and Spending Review this week.

Spending Review 2021 – Policy outcomes and metrics is meant to tie spending and performance together. Each department has an Outcome Delivery Plan that sets out their priority outcomes and the metrics they will use to measure their performance against them. Effectively, this is their homework how they want it to be marked and the measures used are highly revealing.

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Behind the Spending Review’s smoke and mirrors

Originally published as a column for Inside Housing.

This was a spending review that didn’t really feel like a spending review as far as housing is concerned.

It’s the first multi-year review since 2015 but compare it to the austerity seen then and in 2010, the cuts of 1998 and even the relative largesse of 2007 and it seems to contain little that is really new.

Aside from what is claimed to be an additional £1.8 billion for brownfield land, almost everything in it has already been announced, in some cases several times.

The 2021 spending review (SR21) ‘confirms’ £5 billion for cladding removal and ‘reconfirms’ £11.5 billion for the Affordable Homes Programme alongside an existing £10 billion for housing supply but the numbers in it play fast and loose with the difference between the five years of this parliament and the three covered by the review (2022/23 to 2024/25).

A classic example is the claim in the Red Book  that: ‘SR21 demonstrates the government’s commitment to investing in safe and affordable housing by confirming a settlement of nearly £24 billion for housing, up to 2025-26.’ Rishi Sunak also used this impressively large number in his Budget speech.

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Mind the gaps in the net zero strategy

Originally published as a column for Inside Housing.

In so far as it can be called a strategy, the government’s plan for heat and buildings largely relies on the private sector plus regulation to deliver its ambitious targets for net zero in housing.

What ‘new’ money there is – £800m for the Social Housing Decarbonisation Fund, £950m for Home Upgrade Grants – seems mostly to consist of allocations from sums already promised in the Conservative manifesto.  

The exception seems to be £450m for a Boiler Upgrade Scheme that will fund 90,000 replacement heat pumps over the next three years, with the government arguing that this will prime the market for its ‘ambition’ of 600,000 a year for the next three years.

But that mismatch only highlights the contrast with Labour’s pledge of £60bn investment over the next 10 years and the Climate Change Committee’s estimate that it will cost a total of £250bn to decarbonise housing by 2050.

There is an even bigger gap between the strategy’s rhetoric about net zero and the reality that bringing as many homes as possible up to EPC band C by 2035 will involve costly retrofits. Around 60 per cent of existing homes are below EPC C.

And there are still big questions about whether new technologies will work, how decarbonisation will be delivered and how the targets and standards will be enforced.

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Winners and losers in the hunt for A Home of Our Own

Originally published as a column for Inside Housing on October 20.

A young couple living in a caravan because they can’t find anywhere to rent let alone buy wait for winter and cold weather.

It might be an everyday story from the housing crisis except for two things. First, this is the final episode in an excellent 10-part Radio 4 series that shows that there are many different local crises not just a single national one. Second, one of them works as a housing officer for the local council.

A Home of Our Own finished on Friday but is well worth catching on BBC Sounds over the next few weeks. Presented by Lynsey Hanley, it’s a journey right around the UK that begins in Cornwall and ends in Pembrokeshire via London, Belfast, Glasgow, Middlesbrough and most points in between.

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An empty vision from the Conservatives

So now we know. The way to tackle the affordability crisis is to pretend that it does not exist.

There is no official confirmation yet but the clear message from the Conservative Party conference is that radical planning reform and the attempt to force through new housebuilding in the least affordable parts of the country are both dead.

In their place are vague assurances that building more homes in the North will help both to level up the country and take the pressure off the South East. 

It was there front and centre in Boris Johnson’s invitation in his conference speech  to: 

‘Look at this country from the air. Go on google maps, you can also see how much room there is to build the homes that young families need in this country, not on green fields, not just jammed in the South East, but beautiful homes on brownfield sites in places where homes make sense.’

The prime minister still talked about ‘fixing the broken housing market’ but that is no longer a goal to be achieved by building more homes in expensive areas but a means to a different end:

‘Housing in the right place at an affordable price will add massively not just to your general joie de vivre but to your productivity. And that is how we solve the national productivity puzzle by fixing the broken housing market by plugging in the gigabit, by putting in decent safe bus routes and all other transport infrastructure and by investing in skills, skills, skills and that by the way is how we help to cut the cost of living for everyone because housing, energy, transport are now huge parts of our monthly bills.’

There was more in the same vein and some guff about ‘the dream of home ownership’ but you get the picture. Needless to say he had nothing to say about fixing parts of the market that are most broken for tens of thousands of leaseholders stuck in dangerous and defective flats. 

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