Housing associations in England could double their output by borrowing against existing assets and with more partnerships according to Savills.
In a report called ‘releasing untapped potential for more housing’ Savills said associations could deliver 44,000 more homes to a total of 84,000 by 2029 – supplying a quarter of the 300,000 new homes required annually in the process.
But it added that some form of subsidy would be needed to deliver these homes across a range of tenures including affordable housing. Indeed, in the absence of additional grant funding, housing associations would need to secure land at zero or low value in order to be able to build shared ownership homes or affordable rented housing.
Chris Buckle, associate director Savills residential research, said: “There is clearly a desire by government to boost housebuilding in areas of greatest need and to support new housing across a range of tenures.
“Our work shows that there is huge untapped potential for has to do even more and fill the gaps left by the private sector.”
In the Autumn Statement last week the government launched a £2.3bn infrastructure fund for 100,000 new homes and an additional £1.4bn for 40,000 affordable homes by 2021.