Nearly a decade ago, Kate Barker set out the need for a step change in housing in her government report. The mantra became that housebuilding needed to step up a gear to 240,000 homes a year. Consensus was that about 100,000 extra homes a year were needed to meet housing needs. A decade on from Barker, that consensus remains -a step change in housing delivery is required.But can that step change be delivered without a different approach -something new? Be that new investment, new finance techniques, new entrants or new partnerships. Now perhaps it is the time for the something new, to deliver that step-change in housing delivery.
We have developed something new. It is our Million Homes Toolkit. We refer to it in our paper, Nation Rent.
There are three core flexibilities in the Million Homes Toolkit
Flexibility One: in Portfolio Delivery
In a nutshell – the Million Homes Toolkit allows a full range of housing to be held within a portfolio.Everything from social rent through to market housing. Because the Million Homes approach is a portfolio approach – not a site specific approach, it can use the different strengths of housing finance to allow social housing to be delivered without requiring grant subsidy.
Flexibility Two: in Portfolio Management
In a nutshell – the Million Homes Toolkit is designed to recognise that people’s individual circumstances, their ambitions and aspirations can change over time. It is designed to allow people to choose to rent or buy, or to rent and buy their home over time.
Flexibility Three: in Investor Groups
In a nutshell – the Million Homes Toolkit recognises that different investors, different financiers, are looking for different things: Different Returns, Time horizons, Yield and have different risk appetites.
The Million Homes Toolkit enables different finance partners to be brought together to reflect the different appetites and interests of the finance parties.
So our work demonstrates how to deliver a whole market proposition – from traditional social rent through to market housing.
It could help that step change in housing delivery. The Million Homes Toolkit works with existing housing providers, housing associations and developers, it does not displace them. It works with smaller and larger organisations and across the country. Enabling everyone to do more, and new entrants to have their chance.
If you think it may be time for the something new, to help deliver the housing change which is needed, please contact us at: