In preparation for the General Election likely to be held in 2024 and the possibility of a change of government, ARCH has reviewed the latest policy statements of the four main parties in England to understand the likely implications for housing, and particularly for council housing.

The housing policies pursued by the Conservatives in government provide the best indication of the party’s likely policies if re-elected; there has so far been no mention of any new policies the party plans to include in its manifesto. Housing had a low profile at the Conservative Party conference and was not mentioned in the Prime Minister’s speech. The Chancellor’s Autumn Statement on 22 November gave some indication of the party’s likely future fiscal stance and announced a decision to uprate local housing allowances from April 2024. No mention was made of future council rents, whether for 2024 or in the longer term, on future council rents as consultation on this topic has been promised but not yet commenced. The government’s position on council housebuilding remains largely unchanged, and significant changes to the AHP or RTB or the use of RTB receipts seem improbable at least in the short term.

Current information about the housing policies of the Labour, Liberal Democrat and Green Parties is summarised here. There is a perhaps surprising amount of common ground among all three parties on broad aims and policy priorities relevant to council housing; most of the differences are on matters of detail. Points that stand out are:

1. All three parties agree on the need to substantially increase the supply of social housing: The Lib Dems and Greens support a target of 150,000 new social rented homes a year (although it is not clear whether this is a target for England or the UK as a whole), Labour has avoided setting a target but has been informally supportive of an ambition of 900,000 homes over 10 years. Labour has set a target for the next parliament of 1.5 million new homes across all tenures, with the Lib Dems calling for 380,000 a year. The Greens do not accept the need for new construction on this scale, arguing that supply can be increased by bringing more empty homes into use, retrofitting, converting or extending existing buildings and reducing demolition rates.
2. The parties take different positions on the Right to Buy. Only the Greens would abolish it. Labour proposes to review and probably reduce discounts, and to strengthen covenants discouraging early resale. The Lib Dems propose to give local authorities freedom to vary discounts according to local conditions and, in extreme cases, to suspend RTB altogether.
3. Various policies are proposed to disincentivise the purchase of new homes as second homes or investment properties, or their use as holiday lets. Labour would give first time buyers “first dibs” on new properties in their area; the Lib Dems would introduce a new use class to allow planning powers to regulate new construction and changes of use. A key Green Party policy is introduction of a Land Value tax.
4. All three parties propose reform of the planning system, but with different priorities in mind. For Labour the aim is to speed up decision-making and delivery of new homes, industry and infrastructure; the party is also proposing 10 new towns, with some development on parts of the Green Belt. The Lib Dems propose 10 new garden cities. The Greens are resistant to development on Green Belts although they argue that existing Green Belt boundaries should be kept under review, allowing for the possibility of housing development in some parts provided equivalent areas elsewhere are given Green Belt protection. All three parties propose reform of compulsory purchase rules to enable local authorities and other public bodies to acquire land more easily and at prices closer to existing use value.
5. Equally, all three parties propose major investment in insulation and other measures to improve the energy efficiency of homes in all tenures. Interestingly, none include proposals specifically aimed at social housing such as the current SHDF; the emphasis is on an area-based focus, both Labour and Lib Dems mention “street-by-street” approaches co-ordinated by local authorities, with the Lib Dems wanting to build on the experience of the General Improvement Areas of the 1970s.
6. Less is said about other aspects of social housing quality: Labour says only that it will “seek to improve the quality and safety of existing social homes”; the Lib Dems commit to complete the review of the DHS and implement it (for social housing) by 2030, but do not mention the DHS in connection with the private rented sector. The new regulatory system for social housing is nowhere explicitly mentioned.
7. Labour does not mention social housing rents; the Lib Dems recognise the need for a long-term rent settlement but propose that rent increases should be linked to the Bank of England base rate, rather than the rate of inflation. The Greens focus on ensuring that rents remain affordable, but without clearly acknowledging the investment needs of the sector beyond improving energy efficiency.
8. Homelessness also receives somewhat cursory treatment. All three parties argue that the only long-term solution to homelessness is to increase the supply of social, particularly council, housing, but much less is said about the need for early action to tackle the spiralling increase in the use of temporary accommodation. The Lib Dems propose to increase LHA rates to the 30th percentile (the government has now decided to do this from April 2024); the Greens would introduce rent controls.
9. Reform of the private rented sector is a shared objective, although detailed policies differ among the parties. However, none – apart from the Greens’ support for rent controls and the Lid Dems “rent smoothing” idea – is in major disagreement with the proposals in the Renters’ Reform Bill and, if this is enacted before the General Election it seems unlikely that further legislation will be a priority for whichever party forms the next government.