Regional Mayors Empowered to Lead £7 Billion Drive for New Social and Affordable Homes
A new era for UK housing begins as regional mayors outside London gain control over £7 billion in government funding to accelerate the largest wave of social and affordable homebuilding in a generation.
The government has confirmed that metro mayors will now play a central role in delivering its £39 billion Social and Affordable Homes Programme — a ten-year initiative designed to transform communities, boost regional growth, and provide secure, affordable housing for thousands of families priced out of home ownership.
For the first time, mayors across Greater Manchester, the West Midlands, the North East, West Yorkshire, Liverpool City Region, and South Yorkshire will have the power to shape housing priorities in their areas, deciding which sites to develop and what types of homes best meet local need. The investment — worth £7 billion across six regions — will help deliver around 180,000 new homes, with at least 60% at social rent, giving more families the chance of a safe, stable home.
Building Homes, Regenerating Communities
To support the surge in construction, ministers have announced sweeping reforms to make it easier for councils to build at scale and reduce the number of households stuck in temporary accommodation. Councils will gain new flexibilities to combine Right to Buy receipts with government grant funding from 2026-27, unlocking thousands of new council homes.
A further £150 million brownfield regeneration fund will help mayors turn neglected land into vibrant communities, delivering more than 4,000 homes, green spaces, and local jobs.
Housing Secretary Steve Reed said:
“For too long, families have been trapped in temporary accommodation or stuck on waiting lists with little hope of a secure home.
We’re changing that — backing mayors and councils to build again and leading the biggest expansion in social housebuilding for a generation. My message is simple: go big, go bold, and go build.”
Homes England and Sector Leaders Back the Plan
Homes England Chief Executive Amy Rees CB added:
“This investment will unlock thousands of affordable homes across England. We’re working closely with mayors and housing providers to ensure every pound delivers homes that communities truly need.”
Kate Henderson, Chief Executive of the National Housing Federation, said the initiative “sends a powerful signal that affordable housing is once again a cornerstone of government policy.”
Meanwhile, Ian McDermott, CEO of Peabody and Chair of the G15, welcomed the plan:
“By empowering mayors to drive social housebuilding, the government is helping local leaders deliver growth, regeneration, and opportunity where it’s needed most.”
A Decade of Renewal for Social Housing
The Social and Affordable Homes Programme forms a cornerstone of the government’s Plan for Change, which pledges to deliver 1.5 million homes this Parliament and end the housing shortage for good.
With mayors leading the charge and councils regaining the power to build, the UK is poised for a decade of renewal in social and affordable housing — creating stronger communities, boosting local economies, and giving every family the foundation of a decent home.
