London, UK – 02 July, 2025 – The UK Government has launched an ambitious Decade of Housing Renewal Plan, backed by a £39 billion Social and Affordable Homes Programme, to deliver approximately 300,000 new social and affordable homes over the next ten years. Announced by Deputy Prime Minister and Housing Secretary Angela Rayner, the initiative aims to address the housing crisis, improve living standards, and provide safe, secure homes for families, particularly the over 165,000 children currently in temporary accommodation.

The Social and Affordable Homes Programme, confirmed at the recent Spending Review, represents the largest boost to social and affordable housing in a generation. With an ambition to dedicate at least 60% of the new homes around 180,000 units—to social rent linked to local incomes, the programme will deliver six times more social rent homes than the previous decade up to 2024. Administered primarily by Homes England, with up to £11.7 billion allocated to support housing delivery in London through the Greater London Authority, the programme nearly doubles the annual investment of the previous 2021–2026 Affordable Homes Programme, rising to £4 billion by 2029/30.

The government’s long-term plan, Delivering a Decade of Renewal for Social and Affordable Housing, outlines a comprehensive strategy to enhance the safety, quality, and availability of homes. It includes modernizing the Decent Homes Standard, extending it to privately rented homes, and introducing Minimum Energy Efficiency Standards for social housing for the first time. These measures aim to ensure homes are safe, warm, and energy-efficient, aligning with the government’s commitment to implement Awaab’s Law, prioritizing tenant safety.

The plan is structured around five key steps to revitalize the sector:

• Delivering unprecedented grant funding through the £39 billion programme to kickstart large-scale construction.
• Rebuilding capacity for the sector to borrow and invest in new and existing housing stock.
• Establishing a stable regulatory regime to provide certainty for providers.
• Reinvigorating council housebuilding to boost local authority contributions.
• Forging partnerships with the sector to deliver at scale and pace.

To support these goals, a new 10-year settlement for social housing rents will be introduced from April 2026, offering providers the certainty needed to reinvest in housing stock. The government is also consulting on a convergence measure for rents, with options capped at £1 or £2 per week, to be finalized at the Autumn Budget. Additional consultations will seek input on updating the Decent Homes Standard and implementing Minimum Energy Efficiency Standards to enhance tenant living conditions.

The government has introduced reforms to the Right to Buy scheme, including a reduction in maximum cash discounts implemented in November 2024, to protect council housing stock and enable local authorities to ramp up delivery. These measures complement broader housing initiatives, including reforms to the National Planning Policy Framework, the Planning and Infrastructure Bill, and the establishment of a new National Housing Bank to accelerate construction.

In an official press release, Deputy Prime Minister Angela Rayner stated: “We are seizing this golden opportunity with both hands to transform this country by building the social and affordable homes we need, so we create a brighter future where families aren’t trapped in temporary accommodation and young people are no longer locked out of a secure home. With investment and reform, this government is delivering the biggest boost to social and affordable housing in a generation, unleashing a social rent revolution, and embarking on a decade of renewal for social and affordable housing in this country.”

Minister for Energy Consumers Miatta Fahnbulleh added: “Everyone deserves to live in a warm, secure and affordable home, which is why we are setting out bold plans today to transform housing over the next decade. This includes proposals to introduce an energy efficiency standard for social housing for the first time ever, helping tenants benefit from cheaper energy bills and more efficient homes.”

The government has issued a “call to arms” to developers, councils, and investors, urging collaboration to meet the ambitious target of delivering 300,000 social and affordable homes. By providing long-term funding and regulatory stability, the plan enables providers to plan effectively and invest with confidence. The initiative builds on extensive engagement with social housing providers and tenants, ensuring the strategy reflects their needs and priorities.

This comprehensive package is a critical component of the government’s Plan for Change, aiming to deliver 1.5 million homes and drive up living standards across the UK. By addressing the housing crisis head-on, the Decade of Housing Renewal Plan sets a bold vision for a future where every family has access to a safe, affordable, and high-quality home.