The annualised figure of 17,290 new homes granted is a long way behind the estimated 50,000 Stirling Ackroyd estimate are needed per year to house London’s growing population.
By comparison, in Q1 2015, planning departments gave permission for 11,870 new homes across London, or an annualised rate of 47,460.
London boroughs rejected 4 out of every 10 possible new homes in the first quarter, meaning all boroughs together approved a proportion of just 61% of potential new homes across Q1 2016 – compared to an allowance rate of 82% in Q1 2015.
Westminster is leading the way when it comes to tackling London’s housing crisis, approving 626 new homes. A marked improvement from Q1 2015 when it granted just 193 applications, the rise has been fuelled by demand for high-volume developments within the central borough.
Richmond, meanwhile saw the fewest number of new homes approved across the quarter, with just 11 new homes given approval – even lower than the 31 permitted in Q1 2015.
The number of applications from developers also fell, particularly on an annual basis. Q1 2016 saw planning applications for a potential 7,050 new homes, significantly behind the 14,400 potential new homes possible in Q1 2015.
Andrew Bridges, managing director of Stirling Ackroyd, commented: “It’s a sluggish and disappointing start to 2016, which should be a year of real progress. In an election year, the most frustrating side to the slow pace of planning departments is that London has the drive, capacity and ability to take control of its housing problems. Londoners want change. And if you believe all the mayoral candidates’ speeches – everyone wants a positive outcome too.
But change isn’t happening. The number of homes are falling to new lows, contributing to a completely unfair and immoral housing shortfall. On the streets of the capital, homes are the top concern – and yet this isn’t being heard. Housing is politically fashionable – but sadly not politically practical. As the Chancellor demonstrated in the Budget last month, housebuilding can slide down the agenda quickly. It’s imperative this slide doesn’t happen this summer after the new Mayor takes office in City Hall. There’s no easy fix, and building alone isn’t sufficient to get people on the homeownership ladder. But enough new homes are a necessary starting point that is still so far away from reality."
