CEO of Housing firm rejoices over fresh prospect for real estate growth

CEO of Housing firm rejoices over fresh prospect for real estate growth

In the pursuit of delivering 1.5 million new homes by 2025, the Labour government has been making strides through significant investment, planning reforms, and expansion of social housing. However, recent figures suggest that the current delivery rate is falling short of the target, with approximately 186,600 net additional homes delivered in England between July 2024 and June 2025, representing just over 12% of the total goal[1][4].

Central to Labour's plans is a £39 billion investment in social and affordable housing through the Social and Affordable Homes Programme. This ambitious initiative aims to deliver around 300,000 new social and affordable homes over a decade, with at least 60% intended for social rent linked to local incomes[2][3][5]. The government has also introduced reforms to accelerate approvals and reduce bottlenecks, including modernising planning committees and allowing local authorities to set planning fees to better resource departments[1][3].

However, challenges persist. A sharp decline in planning permissions, skills shortages in construction trades, high interest rates, and weakened buyer demand since the end of Help to Buy incentives have constrained both capacity and market-driven development[1]. To address these issues, the government and industry have taken steps such as increasing developer interest and focusing on raising the quality and safety standards in social housing under the new Decent Homes Standard and Minimum Energy Efficiency Standards[1][2][3].

Despite these challenges, Manningham Housing Association (MHA) remains optimistic about the delivery of new homes in 2025. MHA's chief executive, Lee Bloomfield, delivered a message reflecting on MHA's achievements over the previous 12 months, including being the first housing association worldwide to win the ISO 30415 accreditation for HR and diversity and inclusion[6]. Bloomfield expressed his hope that 2025 will herald a new dawn in the delivery of new homes, especially considering that Bradford, where MHA has delivered 20 new affordable homes in Keighley in 2024, will be the UK City of Culture for that year[7].

In preparation for the anticipated demand, MHA has partnered with the Social Housing Decarbonisation Fund to upgrade a number of their homes[8]. MHA is also determined to deliver many more properties in 2025 to aid the government in achieving their promise of providing 1.5 million new homes within the next five years.

Experts and industry leaders, however, express cautious optimism but warn that unless systemic issues—especially planning delays and workforce shortages—are effectively addressed, the government risks missing its ambitious targets[1][4].

[1] The Guardian, "Labour's housebuilding target faces major hurdles as delivery falls short", 2025 [2] BBC News, "Labour announces £39bn social housing investment", 2024 [3] The Telegraph, "Labour's planning reforms aim to speed up housebuilding", 2024 [4] Centre for Cities, "Labour's housebuilding target: Achieving the impossible?", 2025 [5] Housing Today, "Labour's social housing plans to deliver six times previous decade's rate", 2024 [6] MHA press release, "MHA achieves ISO 30415 accreditation for HR and diversity and inclusion", 2024 [7] Bradford Council, "Bradford named UK City of Culture 2025", 2024 [8] MHA press release, "MHA partners with Social Housing Decarbonisation Fund to upgrade homes", 2025

1. The Labour government's policy and legislation aims to increase housing-market activity through significant investment, planning reforms, and expansion of social housing, with a goal of delivering 1.5 million new homes by 2025.
2. Central to these plans is a £39 billion investment in social and affordable housing through the Social and Affordable Homes Programme, with at least 60% of the new homes intended for social rent linked to local incomes.
3. Despite this investment, the current delivery rate is falling short of the target, with challenges such as planning delays, skills shortages, high interest rates, and weakened buyer demand hindering the progress.
4. To address these challenges, the government and industry have taken steps to increase developer interest and raise the quality and safety standards in social housing, with initiatives like the Decent Homes Standard and Minimum Energy Efficiency Standards.
5. In the midst of these challenges, Manningham Housing Association (MHA) remains optimistic about delivering new homes and has partnered with the Social Housing Decarbonisation Fund to upgrade a number of their homes.
6. Experts and industry leaders urge caution, warning that unless systemic issues like planning delays and workforce shortages are effectively addressed, the government may miss its ambitious targets for housing inclusion and real-estate development.

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