Sadiq Khan

Sadiq Khan calls for more funding to boost affordable housing

The mayor of London has called on the government to boost the funding and powers available to London in the forthcoming Budget to help increase the number of affordable houses.

New figures released by Sadiq Khan have revealed that London needs to build 66,000 new homes each year to meet growing demand.

Mr Khan believes that the government needs to increase funding for affordable housing in London to around £2.7bn a year, more than five times the current spending levels.

“Londoners know better than anyone that there has been a systematic failure for decades to build enough new homes that are genuinely affordable,” said Mr Khan.

"The housing crisis is a major factor in the high cost of living in the capital, as well as putting home ownership out of the reach of many young Londoners, who fear they will never get a foot on the property ladder.

“In the worst cases, it can affect social cohesion, cause poor health, and plunge residents into poverty.”

Last November, the mayor of London secured a £3.15bn deal with the government to start building 90,000 genuinely affordable homes by 2021, around £500m a year.

Despite announcements by Theresa May that this could rise to £700m a year, Mr Khan believes this is well short of the Labour government’s £1.75bn a year in 2009/10.

“I cannot overestimate how terrible a situation we inherited.

“Successive prime ministers have failed to invest anywhere near enough in building new affordable homes.

“The previous mayor stopped investing in homes for social rent altogether and cut the number of new affordable homes he funded to the lowest level since records began.

“We can all see the results: too many luxury penthouses that only the very wealthiest investors can afford and nowhere near enough homes within reach of ordinary Londoners.

“It's time for the prime minister to match her words with action and use the Budget to commit to the profound increase in investment and powers London needs to tackle this crisis once and for all.”

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