Chancellor Rachel Reeves has delivered her landmark Spending Review, setting out departmental budgets with housing firmly at the centre of the government’s priorities. A key highlight is the launch of a new Affordable Homes Programme, backed by a significant £39 billion investment.
Reeves underlined the importance of providing secure, quality homes for working people across the country.
"Our planning reforms have opened up opportunities to build — now we must act to make the most of them," she said.
She emphasised that this expansion must include social housing, which she acknowledged has been neglected for decades. "We are taking action," she added.
The announcement has been welcomed across the property sector.
Malcolm Prescott, Managing Director of award-winning estate agents Webbers, said: "Clearly we welcome any boost for the property market, particularly at the base of the housing pyramid — affordable homes for young people. Many of them are eager to settle in their local areas, but open market prices have made this extremely difficult. This is also great news for developers, as they are crucial to delivering the homes we need, and this injection of funding should really help them too."
Alex Slater, Rightmove’s housebuilding commentator, also praised the announcement: "Today’s news is a real boost for the housebuilding industry and a step in the right direction. There is a critical shortage of affordable homes, so we welcome any initiative that helps the sector deliver more of these properties. The key now is ensuring that affordable homes are built in the right places — where the gap between supply and demand is greatest. Hopefully, this is just the first of many steps to come in supporting the delivery of much-needed homes across the country."
Lee Hussell, Director of Webbers Land and New Homes, added: "New homes are a vital part of the housing market. We are fortunate to work with local developers who are committed to building high-quality homes with green credentials, aimed at first-time buyers who want to stay in their communities. Today's announcement has to be good news for everyone involved — buyers, developers, and local areas alike."
The Spending Review marks a decisive moment for the property sector, signalling strong government backing for affordable housing and housebuilding at a time when it is most needed.
