Latest data revealed by the Fifty Thousand Homes campaign shows that on an average, one out of three homes (36 per cent) are not built in the UK after the planning permission is granted. This is not only adding to the housing crisis, but challenging the London mayor’s plan to meet housing targets.
Since 2014, more than 50,000 homes were given planning permission each year and it was in sync with the mayor’s plan to provide housing. Unfortunately, the construction of the homes did not match the number of planning permissions given because of various reasons. Once planning permission is given, it takes at least 13 months to commence the construction. Another 20 months are needed to complete the development scheme and this adds to the delay in the number of homes entering the market.
It means that UK would need another three years to complete construction of homes for which planning permission has already been granted. Nearly 30 per cent of the homes built come under the affordable segment (social housing, affordable rent, shared ownership and shared rent).
Fifty Thousand Homes campaign has urged the mayor to get tough with organisations that have obtained planning permission, but not yet built the homes. The campaign is of the view that the housing crisis would continue to spiral out of control, as London needed 50,000 new homes every year to keep up with the growing population.
Since 2014, just over 50,000 flats and houses have been granted planning permission each year - putting the Mayor’s target of 50,000 new homes for London just in reach.