Housing Commission publishes final recommendations - calling for key changes to planning, funding and implementation to meet homes target

The recommendations follow a seven-month engagement campaign across the real estate industry, with Shoosmiths' living sector legal experts supporting the Commission since its launch in March 2024.

20 years after the landmark Barker Review of Housing Supply, the Radix Big Tent Housing Commission - chaired by Dame Kate Barker until her appointment to the New Towns Taskforce - has published its final recommendations.

The Report, Beyond the Permacrisis – Delivering 1,000 Homes a Day sets out 15 practical steps to deliver the 1,000 homes a day that will be needed over the course of the next parliament for the government to meet its 1.5 million housing target.

The multi-disciplinary Commission - which includes property professionals, developers, investors, planners, academics and Shoosmiths partner and living sector co-head Lisa Tye – urges the government to treat housing as national infrastructure. It states that ‘the failure to meet decades of housing targets or fully adopt the recommendations of the 2004 Barker Review lies predominantly with flawed governance structures’.  

The Report sets out an innovative new framework for housing delivery including a clear strategy, a new housing delivery unit at the heart of government, cross-party collaboration and clarified roles for different tiers of government. Its 15 recommendations include:

  • A new cross-departmental Housing Delivery Unit to coordinate housing policy delivery across government and to engage with key stakeholders such as the Bank of England and financial and utility regulators
  • A cross-party accord to create policy consensus and improve the delivery of schemes across the UK
  • A new approach to the release of public land for housing
  • A new role for Homes England so it can act as a master developer

The Report recognises that new public money will be limited, while arguing: ‘talk is cheap, literally. Real change to deliver high quality, affordable housing will need to be matched not only with new structures and processes, but with hard, cold cash. More social rent housing will require subsidy.’ 

The Report goes on to recommend:

  • Streamlining existing funding pots and processes, replacing wasteful and divisive short-term competitive funding model with longer-term, needs-based funding formulae
  • Encouraging institutional investment in housing, by creating a level playing field for tax, clarity of vision and consistency of regulation
  • Reforming the current system of developer contributions through Section 106 and the Community Infrastructure Levy, with a goal to deliver more affordable housing
  • Agreeing a prompt rent settlement that provides income security for Registered Providers

The Report also provides a route map to improve the planning process based around:

  • The reintroduction of strategic planning and a plan-led approach to sustainable growth
  • Diversifying the market and expanding the role of SMEs and self-commissioned housing
  • Rebuilding capacity and capability within the public sector

Chair of the Commission and the Report’s main author, Alex Notay - who took over from Dame Kate Barker in August - said:

“Most indicators show that the housing market is now in a worse state than it was two decades ago. In particular, there has been a failure to link new housing with infrastructure delivery and also, since the financial crisis, a further decline in the supply of new social rent homes.

“The golden thread of our recommendations is to urge the government to ensure that any policy change is assessed against every aspect of the housing ecosystem. Unblocking the various viability issues addressed in our report - alongside the strategic planning proposals we make - would be transformative. It is possible to do this if these bold recommendations are acted on holistically and proactively.”

Welcoming the Report, Ben Rich, chief executive of Radix Big Tent, the radical centre think tank behind the Commission, said:

“This programme is both practical and radical. We commend the priority that the new government has given to delivering housing, but they will need a roadmap such as this if they are to have any chance of meeting their housing and indeed their net zero targets. We stand ready to support the government in this challenge.”

Lisa Tye, commissioner and living sector co-head at Shoosmiths, added:

“The goal of this commission was to identify and propose actionable, pragmatic solutions to address England’s housing crisis. We engaged experts from across the real estate industry, who shared their insights on operating in the current market and explored how a combination of major reforms and incremental changes could help foster a better environment to ensure delivery on the ground – addressing the planning system, unlocking investment, creating jobs and opportunities, and delivering a diverse mix of new homes.

“This has been a truly cross-sector collaboration, and we’d like to thank everyone who contributed their time and expertise. While my fellow commissioners may not universally agree on every recommendation, we are united in the belief that change is essential to delivering the critical housing and infrastructure that England needs. We believe this Report marks an important step toward that goal, offering a roadmap to revolutionise the delivery of new homes across the country.”

The full Report, Beyond the Permacrisis – Delivering 1,000 Homes a Day, can be read here.

Welcoming the recommendations from across the real estate industry:

Victoria Hills, chief executive of the Royal Town Planning Institute:

"This report, which offers clear and sensible recommendations for the future of house building, comes at a critical time as the government considers new national planning policy. It underscores the essential link between homes and infrastructure, adopting a holistic approach to housing and planning – issues we have long championed.

“However, it also serves as a timely reminder that planning reform alone is not a silver bullet for solving the housing crisis. Without a comprehensive housing strategy, greater involvement from local and combined authorities, and improved funding approaches, we will fail to deliver the quality homes needed in the right places."

Melanie Leech, chief executive of the British Property Federation:


"In the 20 years since Dame Kate Barker’s review of UK Housing Supply, it is evident that many of the challenges she identified still remain. However, a key aspect that has radically changed is the arrival of institutional investment into housing - a vital tool previously unavailable to policymakers. By recognising housing as essential infrastructure, and calling for stable, long-term capital, the report aligns with the vision of a vibrant residential investment sector that delivers high-quality, professionally managed homes at scale. The recommendations to streamline planning, ensure regulatory clarity, and facilitate investment create the solid foundation needed to unlock the full potential of institutional capital, benefiting both communities and the broader housing market. 

“As the first few recommendations suggest though, perhaps the most important foundation is to have a cross-party long-term ambition to tackle our housing crisis for all the economic and social benefits that delivers. Our sector is certainly ready to support that ambition and there are clear impactful recommendations the Government can bring forward to help us drive towards 1.5million homes over this Parliament.”

Helen Kings, founder - Kings Residential and chair-elect of the Association for Rental Living:


“The Housing Commission Report from Radix Big Tent presents a bold, coherent, and practical roadmap for shaping the future of England’s housing landscape. By recommending a balanced mix of short and long-term interventions, the report tackles the housing system as a whole - acknowledging its interwoven complexities rather than treating issues in isolation. Its emphasis on holistic solutions and the need for sustained governance, funding, planning, and delivery offers a real opportunity to achieve meaningful, lasting change. 

“Notably, the call for a UK National Housing Strategy, coupled with recognition of the importance of rental tenures, professional management and the pivotal role of institutional investment, could be the game-changer we need. If embraced, this forward-thinking vision has the potential not just to ease the current housing crisis but to lay the foundation for a resilient, sustainable future - one where everyone has a place to call home.”

Shelagh Grant, chief executive of The Housing Forum:

“20 years on from the Barker Review, the problems that it identified with the housing system persist. The Housing Forum is therefore pleased to see this new report from the Radix Commission that sets out clearly the impact of under-supply of housing and identifies mechanisms that could help to overcome them. We’re particularly pleased to see the focus on the role of different housing tenures and what needs to be done to enable the delivery of much-needed affordable homes."

Ben Beadle, chief executive of the National Residential Landlords Association:

“We warmly welcome today’s report. Renters across the country are struggling due to a chronic shortage of homes to rent to meet demand. They need more choice. As the Commission notes, both institutional and private landlords have a critical role to play in meeting the country’s housing needs. 

“The Government should also accept the Commission’s call for a plan to improve the justice system alongside the Renters’ Rights Bill. Ministers have pledged to ensure the courts are ready for the changes in the Bill. Its time for clarity about what ‘ready’ means for the sake of tenants and responsible landlords.”

Rhys Moore, executive director public impact at National Housing Federation:

“We strongly welcome the commission’s report, and its recommendations, which echo the National Housing Federation’s calls for a strategic and long term approach to tackling the housing crisis. To unlock capacity in the social housing sector and enable housing associations to build the number of affordable homes this country desperately needs, a long-term plan for housing is vital and it’s encouraging that the government has committed to bringing this forward.
 
“Housing associations are ready to support the government to meet its ambitious target of building 1.5 million homes over the next Parliament, but they can only do so with the right policy environment and funding. As this report makes clear, long-term certainty over income from rents and long-term grant funding is key to delivering the number of homes needed across the country.”

Disclaimer

This information is for general information purposes only and does not constitute legal advice. It is recommended that specific professional advice is sought before acting on any of the information given. Please contact us for specific advice on your circumstances. © Shoosmiths LLP 2024.

 


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