CIH's reaction to the 2024 Autumn Budget

The Chancellor of the Exchequer, Rachel Reeves MP, delivered her Autumn Budget to the House of Commons today. 

Responding to the announcements Gavin Smart, Chartered Institute of Housing chief executive, said:"It was encouraging to see the Chancellor using her first Budget to acknowledge the importance of housing as part of the government’s drive to ‘fix the foundations’, with financial support and revision of fiscal rules to underpin it.

"Following the welcome housing package announced at the weekend, we were pleased to see confirmation of a £500 million boost to the current Affordable Homes Programme, a confirmation of initial investment in the Warm Homes Plan (£3.4 billion over three years), and £128 million for new housing projects, ahead of further investment in the spring.

"The focus on creating new affordable social homes, alongside measures to improve and protect existing ones through right to buy reforms and increased rent stability, which we've long called for, represents a positive step towards tackling our broken housing system. Around half the loss of social rented homes in the last decade has resulted from the right to buy, especially since it was ‘revitalised’ in 2012, so we warmly welcome the government’s commitment to examine discounts, eligibility criteria and protections to prevent new homes from being sold.

"Long-term certainty is essential for the social housing sector to effectively plan and invest so the introduction of a 5-year rent settlement is welcome. However, to fully support effective planning and sustainable investment, a 10-year settlement is needed, and this is reflected in the consultation on future rent policy. This level of certainty would empower housing providers to make the long-term commitments required to deliver the affordable homes that our communities urgently need and provide greater transparency for residents.

"We welcome confirmation of additional investment to boost local authority capacity with £1.3 billion grant funding which will address pressures in social care (£6 million) and homelessness prevention (£233 million), alongside an extension to the disabled facilities grant and homelessness support fund. In our pre-Budget submission, we also called on the government to reform social security provision to support those on the lowest incomes and provide energy bill support for this winter – we’d have liked to have seen more on these.

"Reforms to the stamp duty surcharge paid on second home purchases in England and Northern Ireland and further financial guarantees to support small housebuilders and Build to Rent are also welcome in addressing the pressures in the housing market. The announcement of funding to support the removal of dangerous cladding is helpful, although we await full details on how this will be allocated.

"We share the government’s vision of a fairer housing system that can empower people with safe, affordable, and quality homes and look forward to working together to contribute to its Housing Strategy alongside responding to the consultations launched today."

We’ll be examining the details and producing a member-exclusive 'what you need to know' guide on the Budget shortly.