The Government has announced a raft of measures to improve the delivery of new social housing across the sector towards its goal of 300,000 new social affordable homes over the next decade, plus a new Decent Homes Standard to ensure quality and lower bills for tenants.

As well as introducing Section 106 changes and re-introducing rent convergence to increase receipts for councils, all private and social landlords will need to meet a new Decent Homes Standard, however it will not be enforced until 2035.

This, said Housing Minister Matthew Pennycook,

“Would give social landlords the time and the certainty they need to boost housing supply as well as drive up the quality of the homes they manage.”

It is the first time that the standard has been extended to the private rented sector, however campaigners have complained that the timeline is too long for a requirement to provide basic amenities in “reasonable repair.”

In a further move to unlock building, councils will be freed to build and manage up to 1,000 homes without being required to open a Housing Revenue Account. And “immediate action to unlock legacy uncontracted Section 106 homes” has been confirmed, meaning that planners will be able to vary tenures of new homes if registered providers are not available to buy social or affordable units in an area.

A new social housing taskforce has been introduced to monitor whether the sector is delivering enough homes as a result of the changes.

Pennycook also confirmed that rent convergence would be reintroduced in 2027/2028, meaning that councils would benefit from homes with rents below ‘formula rent’ able to rise quicker than others. Weekly rents will initially be able to rise by £1 above CPI plus one per cent, and then by £2 from 2028, until formula rent is reached.

Kate Henderson, chief executive of the National Housing Federation, welcomed the moves, saying rent convergence would facilitate a much-needed uplift in social home construction as well as retrofit and that Section 106 changes would help retain viability for affordable housing in schemes.

“The reintroduction of rent convergence after more than 10 years is both fair for tenants, and will enable the social housing sector to build vital new affordable homes while increasing investment in existing ones. Alongside this, the commitment to strengthen Section 106 will ensure that affordable housing remains at the heart of mixed communities across the country.”