Notting Hill Housing are among the latest associations to make deals with mayor of London Sadiq Khan to build more homes.
Notting Hill Housing will invest £3.6bn into providing 8,000 new homes during the partnership, benefiting from £172m of grants from the mayor of London. The grants come from a £3.15bn fund the mayor secured from government aimed at ensuring 90,000 affordable homes are started by 2021.
Khan, said: “I want to see everyone playing their part in tackling the housing crisis in London, because it is simply unacceptable that Londoners continue to be priced out of a city they call home.
“We know that solving the housing crisis is not going to happen overnight, but I very much welcome so many housing associations and councils matching my ambition by committing to build the new and genuinely affordable homes Londoners so desperately need.
“I am delighted that we have set a City Hall record for the number of homes allocated funding – but I am clear that we have got much more to do to secure the land we need to build homes and ensure we have sufficient capacity in the construction industry.”
The allocations also include eight new strategic partnerships with housing associations. The partnerships – with L&Q, Hyde, Genesis, Clarion, Network, Notting Hill, Optivo, and Peabody – have been struck between the mayor and housing associations that are prepared to build new homes at scale and will deliver at least 60% affordable housing across their portfolio of sites.
These partnerships will deliver 38,500 genuinely affordable homes.
Paul Hackett, chair of the G15 – representing London’s largest housing associations – said: “The commitment from London’s housing associations is an unprecedented level of ambition to build the homes the capital needs.
“The partnership with the mayor is the biggest London’s housing associations have ever committed to, reflecting the urgency of the housing crisis and our strong relationship with City Hall.”
Sir Steve Bullock, London councils’ executive member for housing said: “Councils are doing their utmost to tackle the housing crisis which, without action, will result in those providing vital services in our communities being forced to move out of the city.
“This package will provide much-needed additional support to help boroughs and housing associations realise their ambitions of providing high quality, affordable new homes.”
Jasmine Whitbread, chief executive of London First, said: “With the average monthly rent now at £1700, businesses are increasingly worried about their employees being priced out of the capital.
“As the mayor gets to grip with the reality of housebuilding, it’s great to see him making good on the promise of tens of thousands of affordable new homes.
“But London’s housing shortfall hasn’t been addressed for years – to catch up to the volumes we need the mayor has to keep up a drumbeat of housebuilding across the capital, otherwise we risk losing the people we need to stay competitive.”
Kate Davies, chief executive of Notting Hill Housing, said: “We are passionate about providing homes for Londoners and it is something we’ve been doing for more than 50 years.
“Over the past five years we have delivered 5,400 homes across London and with over 2,400 starts last year we are committed to continued investment to help relieve the shortage of housing across the capital.
“This partnership will enable us to build on our strong pipeline to deliver 8,000 homes over the next five years, 60% of which will be genuinely affordable.”
However, on the same day, the mayor has been criticised by opposition for fewer starts than under Boris Johnson.
London Assembly member, Andrew Boff, said: “These figures are a damning indictment of the mayor’s first year in charge and further proof he is more interested in grabbing headlines than making progress on the issues that matter.
“Sadiq Khan made some outlandish housing delivery claims during the election but the proof is in the pudding. Since taking office he has refused to set any housing targets and we can now see he’s failing against the benchmarks set by the previous administration.
“Having held the office of mayor for over 14 months, now is the time for Sadiq to take some responsibility and get on with delivering the housing London so badly needs.”