There were 59,175 affordable homes delivered in England between 2021 and 2022, an increase of 13% compared with the previous year, the latest Government statistics reveal. 

In 2021 and 2022 there were 38,668 new affordable homes for rent, a rise from the 34,001 delivered in the previous year.

The share of new affordable homes for rent was 65%, including social, affordable and intermediate rent.

Delivery of affordable homes funded through section 106 nil grant agreements accounted for 44% of all affordable homes delivered in 2021 and 2022.

This compares to 47% in the previous year and 51% in 2019 and 2020.

Of the 59,175, 92% of affordable homes were new builds, compared to 89% in the previous year, similar to 2019 and 2020. 

There were 63,228 starts on site in England between 2021 and 2022, an increase of 10% compared to the previous year.

Castell Group director of property developers Dorian Payne says: “This data shows how far away we are from building enough affordable homes and how significant the affordable housing crisis is.”

“A National Housing Federation (NHF) study in 2019 estimated that 145,000 affordable homes are required per year in England, and this data indicates we are only achieving 40% of that requirement. In short, we are nowhere near building enough affordable homes.”

“One million households are on the housing waiting list according to Shelter. Achieving 40% of the annual target means that backlog will just keep increasing and the problem is getting worse.”

“While the level of new affordable homes being provided under S106 agreements is reducing, 44% affordable provision from those agreements highlights the continued reliance on private house builders.”

“If private house builders slow down construction due to the current market and economic environment, it’s going to have a direct impact on affordable housing provision, arguably at a time when it’s needed the most.”

Speaking on today’s delayed Autumn budget, Finanze chief economist Edgar Rayo says he would like to see “assurance that the housing sector will be stabilised through ‘concrete’ programmes that will support new affordable house development”.

He also hopes to see “a better replacement of the Help-to-Buy scheme instead of the less popular Lifetime ISA that comes with a high penalty and a £450,000 price cap”.