The UK's social housing sector is facing a perfect storm as it grapples with persistent demand and economic uncertainty. Jonathan Walters, chief executive of the Regulator of Social Housing (RSH), highlighted this pressing issue today at the Housing 2026 conference in Manchester.
Despite delivering nearly half a million new homes over the past decade and improving existing properties to tackle issues like damp and mould, the sector still has a significant shortfall. Over one million households are currently on waiting lists for social housing, with Mr Walters stressing the urgent need for more quality homes.
The economic backdrop is far from favourable, with interest rates maintained by the Bank of England to combat inflation. This has implications for borrowing costs, potentially slowing down new build projects or making existing improvements more expensive. The scarcity of affordable housing – particularly social housing – puts upward pressure on private rental costs and exacerbates living cost pressures for lower-income households.
Mr Walters outlined the RSH's commitment to supporting landlords in delivering more and better social homes. He revealed that the regulator is engaging with the sector on future-proofing its economic regulation, proposing ways for the RSH to become more assertive and agile. This consultative approach aims to ensure effective regulation in a changing environment, facilitating necessary development while maintaining financial stability.
The RSH is seeking feedback from all stakeholders on these proposals, with this engagement period crucial for shaping the future regulatory framework. The outcome could have significant implications for how social housing providers operate, secure funding, and ultimately deliver affordable homes to those most in need.