London, December 09, 2025
A UK government minister has acknowledged the urgent need for a sharp rise in housebuilding to meet the ambitious target of 1.5 million new homes across England by 2030, citing ongoing reforms and funding initiatives aimed at accelerating construction.
Government’s Housing Target and Timeline
The government has committed to delivering 1.5 million new homes in England by 2030, a goal described as stretching but achievable. This target is supported by national planning reforms and a £39 billion Social and Affordable Homes Programme, primarily focusing on social rent homes to address affordability.
Current Policy Measures and Investment
To reach this target, substantial financial support has been allocated through the Social and Affordable Homes Programme spanning 2026 to 2036. The programme channels funding to local councils, developers, housing providers, and combined authorities. Additionally, emergency planning reforms and collaborative efforts with the Mayor of London aim to unlock stalled sites and accelerate building rates.
Challenges and Scepticism
Despite government confidence, the Office for Budget Responsibility has projected a lower housing supply of 1.2 to 1.3 million units under current policies, highlighting a gap between targets and forecasts. Industry experts warn that systemic barriers remain, including a backlog of uncontracted planning obligations under Section 106, weak buyer demand particularly among first-time buyers, and persistent planning delays.
Local Government Role and Incentives
Local authorities face limited incentives to meet housing targets, relying mainly on the New Homes Bonus scheme, which may inadequately motivate councils to drive housebuilding levels needed. These limitations underscore the necessity for stronger local engagement and policy support.
Urgency to Overcome Systemic Barriers
The minister’s admission underlines that current progress and planned reforms alone are insufficient. Accelerated construction, streamlined planning processes, and addressing buyer market conditions are critical to overcoming obstacles and achieving the housing goals.
Context of UK Housing Supply and Affordability Challenges
This commitment is part of the UK’s broader challenge to substantially expand housing supply to ease affordability pressures amid growing demand. The focus on social and affordable homes seeks to ensure new construction meets local needs and improves housing outcomes.
Achieving the 1.5 million homes target by 2030 remains a significant policy priority, requiring intensified efforts across government, industry, and local authorities to meet the evolving housing demands of England’s population.