Housing and Regeneration in London UK
The Government has recently announced a £3 billion funding package for affordable housing in London as the Mayor takes on new accountability for housing and regeneration strategies in the capital.
The investment forms a shift in responsibility as part of the Localism Act which takes off from April this year. The Act will see City Hall, rather than Government ministers, take on full answerability for London’s affordable housing programmes, which will include key development sites such as the Greenwich Peninsula and east London’s Olympic sites.
London’s Affordable Housing Predictions
Despite a severe shortage of affordable homes in London, housing construction in the ‘affordable housing sector’ in the capital has previously been predicted to dip once the Olympics development is over.
However, it is expected that this new funding will enable the Mayor’s office to support any housing initiatives it will come to acquire from the Homes and Communities Agency (HCA), the closure of the London Development Agency and the Olympic Park transformation and legacy, as well as the Mayor’s four year target to build 55,000 affordable and desperately needed homes by March 2015.
Local Housing Improvements and Key Areas
It is intended that the settlement will hand greater control to City Hall, so the Mayor can identify key areas for local housing improvement effectively and be as efficient as possible with public funding. The Localism Act will see councils up and down the country allowed more freedom to spend and act where necessary. Additionally, the programme will look to bring 45,000 existing homes across London up to a good condition, helping to meet the housing demands in local areas.
Under the scheme the Mayor of London will set up a Mayoral Development Corporation to manage the long term development of the Olympic Park and surrounding area, creating both new homes and jobs. The deal will also give National Lottery distributors the opportunity to be reimbursed for their additional £675 million contribution to the Olympic public sector funding package.
Social Housing Post Olympics
Following the Olympic Games, the Olympic Village is set to be converted into the East Village offering 2,800 flats and houses; half of which have already been allocated as affordable homes. Over the next 10 years a further 8,000 homes are planned to be built around the Olympic Park. Out of the 2,800 homes, 675 have already been ear-marked for social housing under councils, while the rest will be kept as private homes.
The East Village promises to have lots to offer families, with the provision of schools and 10 hectares of landscaped gardens and parks. East Village homeowners will be able to make use of the Olympic facilities such as a state-of-the art medical centre and access to sports and leisure grounds. The area will also provide cafes, shops and restaurants, as well as excellent transport connections.
This new investment has put the Mayor of London in optimum position to be able to plough money into developing more affordable homes across the capital where they are needed and at the same time create thousands of new jobs in the East Village. The funding package provides the chance to increase the availability of affordable housing and guarantee that London remains a desirable place to live and work in.