Government reveals social housing taskforce, plus emergency Section 106 and HRA changes

To help boost council housebuilding, local authorities will be able to build up to 1,000 new homes without having to open a new HRA, up from a previous threshold of 200.

A new Decent Homes Standard (DHS) will apply minimum standards to improve the quality of all social homes, including the condition of roofs, doors and windows, and a more robust response to tackle damp and mould – building on the first phase of Awaab’s Law, which requires landlords to fix these hazards within strict timeframes. 

From 2030, social landlords will also be required to upgrade homes to meet new energy efficiency standards, which could include improving insulation, putting in solar panels or installing modern heating systems such as heat pumps. This will also apply to privately rented homes for the first time.

Kate Henderson, chief executive of the National Housing Federation, said: “Today’s announcements provide vital certainty for the social housing sector, delivering a serious, long-term plan for social housing.

“The re-introduction of rent convergence after 10 years is both fair for tenants and will enable the social housing sector to build vital new affordable homes while increasing investment in existing ones.

“Alongside this, the commitment to strengthen Section 106 will ensure that affordable housing remains at the heart of mixed communities across the country.

“We welcome clarity on the new Decent Homes Standard and energy efficiency targets, which will give housing associations the confidence to continue planned work to improve the quality of their homes and bring down energy bills.

“We’re also delighted that today marks the launch of a new social housing taskforce, through which we will agree a compact to strengthen our long-term partnership with the government, local councils and social housing residents.

“These announcements give our sector the confidence to deliver on our shared ambition of a generational boost to social housing.”

Additional policies announced today include making £2.5bn in loans available to private registered providers of social housing at just 0.1% interest. 

Plus, there will be an extra £3.5m available through the Council Housebuilding Support Fund for councils to draw up plans for thousands more homes.

The discounted borrowing rate for council housebuilding from the government’s lending facility, the Public Works Loan Board, will also be extended.  

Steve Reed, housing secretary, said: “Every new social home means one less family stuck on a housing waiting list. Building more social housing is crucial to fixing the housing crisis for good.

“But that’s only part of the story. We’re also driving up the quality of social [homes] so they’re well insulated and damp-free to keep families safe and cut their energy bills in the years ahead.

“I’m calling on everyone who has a part to play to build, baby, build.”

Gavin Smart, chief executive at the Chartered Institute of Housing, said the reforms will “build on the 2025 Spending Review and [support] the delivery of more high-quality, affordable homes”.

He added: “We particularly welcome the new Decent Homes Standard, updating minimum standards for the first time in 20 years and strengthening action on damp, mould and energy efficiency – crucial to improving quality of life and reducing living costs for tenants.

“Measures to accelerate council housebuilding, increase financial flexibilities and reform the Section 106 market, alongside social rent convergence, should strengthen the sector’s capacity to invest in both new and existing homes.”

Gary Orr, group chief executive of Abri and co-chair of the National Delivery Group, believes the decision on rent convergence will “bring clarity for the sector”.

He said: “Combined with the government’s £39bn commitment, they will create additional financial capacity and begin to unlock future delivery. For Abri, this creates the potential to deliver 1,300 additional homes.

“Now it’s on us to make the most of the opportunity and ensure every boardroom responds to the confidence shown in our sector. Our priority remains clear: maximising our capacity to deliver the homes our communities urgently need.”