Further £300m top-up announced for Affordable Homes Programme

The government has announced an extra £300m in grant funding for the current Affordable Homes Programme (AHP).

In a statement today, the Ministry for Housing, Communities and Local Government (MHCLG) said the government will immediately open bidding for the funding, which will be administered through Homes England and the Greater London Authority.

It said this will enable 2,800 extra homes to be built, with around half for social rent. A total of £60m will be available for homes in London with £240m for the rest of England.

The funding is in addition to the £500m top-up to the 2021-26 AHP announced in the autumn Budget and the £11.5bn of funding that has already gone into the programme.

Details of further funding beyond the 2021-2026 AHP are due to be set out in the upcoming spending review in June.

MHCLG also announced an extra £50m for the Local Authority Housing Fund that helps councils to obtain better quality temporary accommodation. This follows £1.2bn that has been earmarked or allocated to the fund to date over four funding rounds.

>>See also: Welcome, but much more is needed’ – social housing sector reacts to £300m top-up to AHP

In its announcement MHCLG also said the government will next week set out “a crack down on exploitative behaviour by rogue and criminal supported housing landlords “who are costing the taxpayer by claiming uncapped housing benefit in return for providing squalid homes for the most vulnerable”.

It added that a new licensing scheme, tougher standards and the ability to stop housing benefit going to rogue landlords “are all part of the plan.” The reforms implement measures in the Supported Housing (Regulatory Oversight) Act, which became law in August 2023 and is designed to tackle poor quality supported housing.

Angela Rayner, housing secretary and deputy prime minister, said: “For so many families, and their children, the security and safety of a home of their own remains firmly out of reach – and instead they have to live in temporary accommodation, including in B&Bs.

“This is unacceptable and is the result of the housing crisis we are facing head on. That’s why we’re driving forward on our plans to ensure a better future for everyone who needs a safe home, building on our plans to drive up living standards and build 1.5 million homes through our plan for change.”