Announcement of Publication of Housing Supply Strategy

Date published: 9 December 2024

We are all aware of the crisis that we face in housing.

A large and growing waiting list for social homes.

Inflation busting rent increases in the private rented sector. Low quality and poor energy efficiency.

Record numbers in temporary accommodation.

Too many barriers when it comes to matters like planning and infrastructure.

And an increasing sense of despair for many who simply want a home to call their own.

Mr Speaker, fixing this is at the top of my agenda, because these issues impact on our ability to deal with some of the challenges we face today – poverty, education, deprivation, health and giving people the opportunity and ability to progress in life.

So we need to tackle the housing crisis head on.

We need to take action that will deal with the root causes of this problem.

We need a new approach

For too long, there has been no joined-up, cross-departmental approach to housing but that changes now.

Mr Speaker, today I am pleased to announce that the Executive has agreed to approve a Housing Supply Strategy for Northern Ireland.

This strategy is a 15 year framework for the whole system change that is needed.

It will deliver a housing system that can provide 100,000 homes over that period.

It will deliver more social homes.

It will deliver better homes.

It will deliver better outcomes for our people.

This Strategy is the culmination of considerable hard work, collaboration and co-design. I want to thank all those who have worked with my Department to develop the Strategy.

Over the past few months, I met Ministerial colleagues with key remits relating to housing supply. I also want to thank them for their support. I believe there is real commitment to looking at how we can address the key challenges such as wastewater capacity, skills, finance and planning.  As an Executive Strategy, all Departments now have a role to play and I expect to see that reflected in budget allocations and the Investment Strategy.

Our vision is ambitious, and rightly so. We now have a 15-year framework in place that aims to deliver at least 100,000 homes and more if necessary. It is grounded in the principle of taking a whole system approach to housing supply.  All Executive Ministers have agreed this Strategy, and the necessary actions fall across a range of Departments.  I know that they are committed to making the changes needed and I look forward to working with them further over the next years.  As an Executive we must not let this opportunity pass by.

For my part as Housing Minister, I have not been waiting for this document to be agreed before work starts.  I am already taking forward a range of actions and will shortly start many others.  I would like to take the opportunity to set some of these out today, in line with each of the 5 supporting objectives of the Strategy framework.

Creating more affordable options

The first objective of the Strategy is about ensuring we increase supply and affordable options across all housing tenures.

I have spoken on numerous occasions about my commitment to the delivery of more social homes. In the past 5 years my Department has invested over £0.75bn which has started 8,341 new social homes.

I will continue to press for the capital budget necessary to bring our social new build programme back to where it should be. However, I am not standing still on this issue. I will make sure that we do everything possible to innovate and maximise delivery with what we have. Housing Associations, The NIHE, Developers, the construction industry, local councils and beyond, all have to play their part in this too

I will continue to prioritise capital spending on delivering much needed social homes but I also want to deliver for people and hard working families who can’t get, or don’t want a social home, by offering them safe, secure, affordable alternatives.

One of these alternatives is Intermediate Rent. This is a new housing product for Northern Ireland which I was pleased to announce a few months ago that aims to provide good quality, secure, affordable rented housing to those lower income households who cannot currently afford to buy or rent a home.

I look forward to making rapid progress on this over the next months.  These are very badly needed, so I want to start building these new affordable, high-quality homes as quickly as possible.

In recent years we have seen rising house prices and mortgage costs and I am committed to helping those who need a bit of extra support to own their own home.

That is why my Department continues to provide significant funding to Co-Ownership, allocating £158 million in Financial Transactions Capital to assist over 4,400 people into home ownership over 5 years.

I have also increased the Property Value Limit (PVL) for properties which are eligible to be purchased through Co-Ownership to £195,000.

Prevention and Intervention

The second objective of the Strategy is focussed on preventing homelessness and ensuring we prioritise housing options for those most in need. I have common cause with the Health Minister on this, what we do is a vital support for our health service.

During Homelessness Awareness week I set out my ambition to prioritise the prevention of homelessness, working closely with the Housing Executive and the wider sector to ensure that it is rare, brief and non-recurrent. 

I have been able to provide another £6.7m for the Housing Executive to prevent the risk of homelessness service closures and ensure that its statutory obligations can continue to be met.  From next year the NIHE will have a specific allocation for Homeless Prevention.

Last week I announced a Goodwill Grant of £150k to homelessness charities, to ensure they can support homeless households at Christmas.

I also continue to look at innovative ways of using Financial Transaction Capital. In line with this, Mr Speaker I am pleased to announce the launch of the Loan to Acquire Move-on Accommodation scheme. This will make available loans to Homeless organisations, like the Simon Community, to buy houses for people currently homeless and living in hostels. Some of these people are incredibly vulnerable and providing this wrap around service is critical to their needs.    

Helping people to sustain their tenancies is another crucial aspect of housing need. The Supporting People Programme provides a key role in helping our most vulnerable people live independently in their homes, and so I provided an additional £4.8m funding this year to sustain that programme.

Quality and Safety

The third objective of the Strategy is about ensuring we focus not just on the numbers of homes, but that they are good quality, safe and secure.

I am taking action to protect and revitalise the Housing Executive and find a solution to place it on a sustainable financial footing, so it can continue to provide decent homes for our households and families for years to come.

Doing this requires access to borrowing for the NIHE, to enable the investment that is needed in its stock. I am actively pressing for a solution that will enable the Housing Executive to invest in its homes through a program of retrofit to improve energy efficiency, increase routine & planned investment and dealing with maintenance backlogs. These are all key issues which we know many of our constituents face on a daily basis.

Our private rented sector has been one of the fastest growing tenures over the past few years and is a vital part of our housing supply. The Strategy sets out actions focussed on putting tenant’s needs at the heart of the sector and to ensure it is suitable for a wider range of households.

Earlier this year, I introduced Regulations requiring smoke, heat and carbon monoxide alarms and just a few weeks ago I brought more Regulations requiring electrical safety checks.

Over the next few months, to help tenants plan for the future and sustain their tenancy, will restrict the frequency of rent increases to once in every 12 months, with a 3 month notice period. . I will also introduce much longer notice to quit periods, as mandated by the Assembly, to greatly improve security of tenure for individuals and families who privately rent.

Better Places

Our vision for the Strategy takes a step beyond houses themselves and recognises the importance of creating thriving and inclusive communities. One key aspect of this work will be how we engage with Local Councils as they produce their new Local Development Plans, which play a vital role in how places are shaped.

My Department and the Housing Executive is working closely with local Council planners to deliver the vision in this Strategy and the new affordable housing policies through the new Local Development Plans.

A Fair path to Low Carbon Housing

The final objectives set out how I want to make sure that people can live in warm, safe homes without worrying about the cost of their fuel bills.  Cold homes can lead to poor mental and physical health, and it is vital that we resolve this issue as we transition to a lower carbon future.

A key action I am taking forward to address this is the delivery of a Fuel Poverty Strategy, which I will begin consultation on later this week. It will set out proposals to tackle fuel poverty and improve energy well-being in the medium to long-term. It proposes a series of measures to improve the energy efficiency of homes, including

an ambitious new scheme for low-income and vulnerable households and raising energy efficiency standards.

The draft Fuel Poverty Strategy also proposes building capacity and collaborating to ensure that people can access advice and support, as well as protecting consumers

Closing

In closing, the publication of the Housing Supply Strategy is a significant step forwards in how the Executive acts on housing. However, we don’t stop here. All Departments must move to implementation with commitment and a focus on delivery.

This will be achieved through a series of detailed shorter term action plans to set out what we need to do, who needs to do it and by when. These will build upon the actions already outlined in the strategy, but they will not and cannot be developed in isolation by my Department.

Mr Speaker, this is an important step forward, but I do not suggest that this is a silver bullet – rather it is a way forward, a commitment to work together to deal with this issue in a determined and collective way.

We now have a Strategy in place - we have a plan for the way ahead. I am focused on delivering on housing and I hope others will join me in that endeavour and ensure we make a difference in the lives of the people we represent.

I commend this statement to the House.