Select committee: Housing, Communities and Local Government Committee
Conclusion 9
3rd Report: Building more social housing
Published 27 Jul 2020
Paragraph 67
Addressed to Ministry of Housing, Communities and Local Government
Housing, Communities and Local Government Committee Long-term delivery of social and affordable rented housing All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Conclusion (the committee's words)
The cross-subsidy model has reached its limit. Without grant funding from central Government, providers will be vulnerable to the economic impact of COVID-19. Housing associations have commendably made up for reduced Government grant investment in the last decade by developing homes for sale and investing these proceeds, but the subsidy gap remains high for social rent. The Government believes housing associations can continue to financially innovate to build more homes, despite registered providers telling Ministers they have reached the limit of their flexibility. If the Government does not increase grant funding, social rent housebuilding will not increase and may drop even further.
From: Housing, Communities and Local Government Committee, 3rd Report: Building more social housing (HC 173), paragraph 67, 27 July 2020
Government response
The government responded to the whole report on 14 October 2020 (deadline 27 September 2020).