Lifting the HRA borrowing cap should come with accounting changes
Theresa May’s announcement that borrowing caps on council housing investment will be removed was a big step in the right direction, and the issuing of draft regulations appears to confirm that the caps will be lifted at the end of this month. With reports of a Treasury fight-back, the concern was that restrictions could have […]
Why councils don’t use their borrowing capacity
Before parliament went off for its summer holidays, the housing minister Kit Malthouse said he was ‘at a loss’ to understand why councils don’t use their full borrowing capacity to build new homes. Always willing to help out a new minister, I’ll offer a quick guide to why this apparently lamentable situation has come about.
Encouraging messages, now Labour must work on the detail
Jeremy Corbyn launched Labour’s affordable housing green paper last Thursday, promising one million new homes over ten years of which a significant number would be for social rent. The ambition was clear: funding will be restored to the level when Labour last held office, and councils will once again become “major deliverers” of social housing. […]
The wrong debate about regulation of social landlords
Reclassification of housing associations was an accident waiting to happen, but it’s wrong to let it determine what kind of regulation should apply to the sector. It’s ten years since Steve Wilcox in the UK Housing Review first warned of the possibility that housing associations could be reclassified as public bodies. At that time the […]
Q&A: Is there a risk that housing associations could become ‘public bodies’ and be ‘privatised’?
Why all the debate about housing associations and “public body status”? What does it mean and what are the risks and opportunities? The prime minister has called them part of the public sector and a think tank says they could be sold off in a similar way to Lloyds Bank. But what are the facts […]
Why the government’s ‘long-term economic plan’ should include building more social rented homes
There’s a strong economic argument for building more low-rent homes to address the massive shortage of housing according to a new report by Capital Economics for SHOUT (Social Housing Under Threat) and the National Federation of ALMOs. In fact there are two good arguments – that the capital investment boosts the economy and helps pay […]
The overwhelming case for new public housing
John Healey MP and John Perry We face a housing and cost of housing crisis greater than at any point since the aftermath of the second world war. Britain is not building enough new homes, and the accommodation that is available is increasingly unaffordable to millions of people. It is a measure of a nation’s […]
Should councils borrow to build houses that aren’t for social rent?
A Whitehall-backed housing review has suggested councils could borrow from general funds if they have reached their Housing Revenue Account borrowing cap. But would such an approach make sense? When Natalie Elphicke and Keith House launched their new report on local authorities’ role in house building last week, they called on councils that have reached […]
Network Rail: back to a public future?
Network Rail rejoins the public sector today, but for statistical purposes only. Wouldn’t it make sense to follow the example of other countries and take it back properly into public control? Today Britain’s rail infrastructure passes back into public ownership: not through any political intent but solely because the Office for National Statistics decided it […]
Why changing the borrowing rules is still a top priority
How do we boost the supply of new homes? John Perry, CIH policy adviser, says the options for change in the run-up to the general election have never been greater. Here he sets out why changing the borrowing rules is an option worth considering. Earlier this month, 50 councils and ALMOs from across the […]
John Perry lives in Masaya, Nicaragua where he works on