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UK Residential – June 2019
REPORT
The Savills Housing
Savills Research
Sector Survey 2019
In association with
Foreword
A renewed sense of purpose
There is more expectation on of land remains the biggest single Contents
the social housing sector than factor impeding increased housing
at any time in recent memory. delivery. Skills and organisational 4 Seven takeaways
First, pressure on new housing capacity (exacerbated by Brexit), In a rush? Here are the
delivery continues in the face of remain a challenge, mostly so for key findings from our
a slowing housing market and the local authorities. housing sector survey.
uncertainty of Brexit. Along with Unsurprisingly, lack of grant
this, and in the long shadow of funding still inhibits development. 5-7 Drivers of change
the Grenfell tragedy, the Social In the face of a more challenging We examine four
Housing Green Paper, the Hackitt environment for the cross-subsidy major drivers to the
Review and the likely review of model, there is a clear role for housing sector: Brexit,
the Decent Homes Standard government here. homelessness, older
have led to a sustained focus on Partnerships have been active persons’ housing and
compliance of existing stock. in the sector and the clear message modern methods of
from the survey is that this trend construction.
But, the results from our 2019
survey reveal that there are will continue. Whether these are
8-9 Land availability
also exciting new opportunities within the sector, with government
There is greater activity
in the sector. bodies or with private partners,
in land-led development,
Perhaps the most notable is well-delivered partnerships
but competition for land
the potential increase in delivery spread risk, unlock opportunity is intensifying.
from local authorities following and accelerate delivery.
the lifting of the HRA debt cap. Encouragingly, the strongest 10-11 Finding their place
Encouragingly, 70% of local message from the research is the Can local authorities and
authorities who responded to renewed sense of social purpose. For Profit Registered
our capacity survey are planning This comes through emphatically Providers bring higher
to increase their delivery of in our survey and focus groups. delivery and innovation
affordable homes – 25% expect With such a shared drive toward to the sector?
a big increase. common goals, we are optimistic
The rise of For Profit Registered the sector will continue to innovate 12-14 Collaborations
Providers has also attracted much and adapt to fulfil its critical role Partnerships can open up
attention, both as an opportunity in housebuilding and society. opportunities, accelerate
and possible threat. Sage has delivery and reduce risk.
started to build real scale, and
L&G has entered the sector with 15 Contacts
big ambition. Our report shows
THE SAVILLS understand how the sector about their development discuss both surveys.
that 72% of respondents believe
feels about the scale of plans and priorities, The group represented a
HOUSING SECTOR FPRPs have a role to play in solving
the housing crisis, housing financial capacity and cross-section of the sector Robert Grundy
SURVEY 2019 the housing crisis providing they
priorities, and how well issues, and the impact of and the aim was to expand Head of Housing
remain focused on tenant welfare.
the sector is responding. policy changes. Data was on any interesting results, 020 7409 5995
Modern methods of rgrundy@savills.com
This survey, in association collected in March and share experiences and
with Social Housing The capacity survey April 2019. We received discuss issues outside the
construction also represent
magazine, is the result This focused on senior just over 130 housing survey questions where
a big opportunity. They are
of two surveys and two director-level employees association responses relevant. The participants attracting significant investment
focus groups. at housing associations (representing more than are not identified due and the sector will see an increase
and people in equivalent half the total homes in to the confidential and in use over the next five years.
The sentiment survey positions in local authority the sector) and 120 local sensitive nature of some Against these exciting new
This was completed housing teams. For the first authority responses. of the topics. opportunities, many of the old Luke Cross
by senior professionals time, the capacity survey challenges remain. Editor, Social Housing
working in the housing had questions focused Focus groups As the sector increasingly looks 020 7772 8468
sector and we received on local authorities and We invited a small group to move from Section 106 to socialhousing.co.uk
more than 500 responses. housing associations. from the capacity survey land-led development, availability
The purpose was to Respondents were asked to two focus groups to
2 3Report overview Drivers
Brexit has had the biggest impact
on construction industry capacity
and operating costs, affecting the
sector’s development activities
7 key findings Drivers of change
New providers, partnerships and priorities. Here are the defining Which issues are rising up the housing priority list?
points that will shape the future of the social housing sector
Words Josh Rose-Nokes
X 1. Brexit activities is now 33%. That is up from
Home
With the uncertainty of Brexit continuing 27% in last year’s survey.
Pay rent
to loom over the housing market, However, respondents agree that the
respondents view Brexit in a more negative capital markets seem largely unaffected,
Services
light than they did in 2018. with cheap debt readily available despite
Maintenance
Brexit has had the biggest negative the shadow of Brexit. They identify bigger
Contact
impact on construction industry capacity challenges to funding, which, in the case
Log out
and operating costs, affecting the sector’s of housing associations, are gearing and
development activities. It has also driven cash-flow capacity. Local authorities cite
up operating costs in the sector, affecting financial capacity as their top funding
materials and labour prices. Our focus barrier, an unexpected response, perhaps,
groups feel that Brexit is exacerbating given the abolition of the debt cap.
1. For the social good 4. Tenant engagement existing problems, such as retaining and
There is a renewed focus on social Issues surrounding tenant voice have climbed up the recruiting staff.
purpose within the sector, with 84% agenda. This year, 59% say tenant services have become The sector is more exposed than ever Respondents agree that the capital
saying that delivering social rented an increased priority, compared with 34% in 2018. to housing market fluctuations, and markets seem largely unaffected,
homes should be the sector’s top Brexit-related sentiment is having a negative
priority – up from 65% last year. impact on the housing market (see our with cheap debt readily available
5. Higher standards 2019 Spotlight: Mitigating Market Risk). despite the shadow of Brexit
Improving standards for existing The proportion of respondents who are
residents has a greater emphasis – concerned that a Brexit-related market
78% point to increased investment downturn would affect their development
in health and safety over the past
two years. This has not impacted
development capacity as things Political influence To what extent do you think Brexit will
stand according to the focus groups. impact on the following aspects of your organisation’s activities?
Key Positive impact No impact Negative impact
2. Land in demand
78% of housing association respondents say 6. Local authority capacity
Construction industry capacity
availability of land is a standout factor preventing With the lifting of the HRA debt cap, local authorities are
the sector building more homes. That said, it’s a expected to add significantly to new affordable housing
slight improvement on 84% in 2018. There is a clear, delivery. Some 70% of local authorities that responded Operating costs
sustained appetite to be more active in strategic plan to increase their delivery of affordable homes, while
land markets, with 46% of respondents planning 25% expect a big increase. Demand for open market sale
to acquire strategic land in the next five years. & shared ownership homes
Availability of staff
Financial capacity
Number of people in need of housing
7. Partnerships and collaboration
3. For Profit Registered Providers Partnerships will continue to play
Can For Profit Registered Providers an important role in accelerating 0% 20% 40% 60% 80% 100%
(FPRPs) help solve the housing delivery and spreading risk. Proportion of respondents
crisis? Some 72% of respondents However, good governance and Source Capacity survey
believe they can. However, 65% a focus on long-term relationships
say FPRPs are less concerned with are vital. The partnerships being
tenant welfare than traditional RPs. most actively undertaken, planned
The message from the focus groups or considered by housing
is that FPRPs can have benefits as associations and local authorities,
potential innovators and disruptors. remain within the sector.
savills.com/research 4 5Drivers Drivers
63%
Of the 90,000 homeless
households in the UK,
63% are in London
2. Homelessness which are in London. A study by Crisis The private sector is also part of the New construction Proportion of development programme delivered by MMC
Homelessness is one of the most visible reports that more than 30% of statutory solution. It provides leased temporary and
symptoms of the housing crisis. It has homelessness acceptances come from settled accommodation, and short-term Key We don’t have a development programme
Less than 10% 10-25% 25-50% 50-100% 100%
risen quickly up the domestic political the private rented sector. crisis relief housing to help local authorities
agenda and become an increased priority That makes housing the homeless fulfil their legal responsibility. Almost half 8% 5%
5%
for respondents since last year’s survey. a complex policy issue, spanning both of respondents (47%) are building short-term 6% 7%
8% 14%
The proportion of respondents who place the social and private rented tenures, and crisis relief housing, for example.
housing homeless households as their top welfare policy more generally. The response Our focus groups noted that longer-term
priority has increased from 31% to 39%. is typically shaped by both the political accommodation alone is rarely enough for
According to MHCLG, there are more imperative and the legal responsibility, those who have been homeless for some time.
than 90,000 homeless households living with both housing associations and local Additional services are needed to avoid
in temporary accommodation, 63% of authorities invested in finding solutions. people living as if they were still homeless.
13%
Plan to be
Currently using MMC
Who do you think the sector should be trying to house? Three groups 4. Modern methods uses MMC in five
stand out as clear priorities, but only homelessness has increased from 2018 of construction years’ time
100% Our capacity survey indicates that the
Key 2018 2019 38%
sector is moving towards more modern
90%
methods of construction (MMC). Some
69% of respondents aim to use these 31%
80%
methods to deliver between 10% and 50%
of their development programme in the
Proportion of respondents
70%
next five years. This is a big shift from
60% current utilisation.
The 5% of respondents who plan to 65%
50% deliver 100% of new homes through using
MMC tend to be smaller with smaller
40% development targets. Source Capacity survey
MMC directly addresses some of the
30% challenges faced by the sector in terms of drawn down earlier, reducing interest Those housing associations not in a
shortage of materials, skills and construction payments on capital to fund developments. position to invest in their own manufacturing
20% capacity. Our focus groups suggest that Some housing associations have their own facilities will have to adapt their procurement
offsite manufacturing is well suited to the facilities and are at the forefront of utilising routes to deliver MMC. Local authorities are
10% sector as it can speed up delivery and MMC. Swan Housing, for example, opened also pushing ahead. There is a pan-London
increase the quality of new homes delivered. its own vertically integrated modular factory group of councils that is working to supply
0% Faster delivery means rental income is in October 2017 and plans to build 600 200 modular temporary accommodation
Homeless
Working
households
market housing
Older people*
Temporary
hardship
Aspiring
(currently
renting)
but seek security
unable to afford
Long-term
unemployed
homeowners
Private renters who
are happy renting,
households
needs etc)
Vulnerable
(elderly; with
special
received more quickly and grant can be homes a year. homes by 2021.
Note *Not surveyed 2018 Source Sentiment survey
3. Older persons’ housing only 726,000 such homes are available particularly that which was built in the Funding for social care provision
Our survey shows that of all the forms of (see our 2018 Spotlight: Retirement Living). 1960s and 1970s. Of the 730,000 retirement is limited, so delivering extra-care
specialist housing provision, the sector has There needs to be more focus on specialist housing units across the UK, 52% were built housing is highlighted as a particular
the greatest appetite to deliver retirement delivery and recognition of the wider benefits or last renovated more than 30 years ago challenge, especially when it is
housing in volume. Some 77% of respondents it can bring to an organisation. For example, (Elderly Accommodation Counsel, 2019). competing for funds within Across all the forms of specialist housing
expect to build homes targeted at the older a specialist housing offer from providers High rates of obsolescence and an ageing organisations. But there are successful
persons’ segment. can encourage existing tenants to ‘rightsize’. population appear to be behind the drive to examples which are likely to act as models provision, 77% of respondents expect to build
Retirement housing is an increasingly This helps with turnover of stock and takes deliver new purpose-built retirement stock. for future delivery within this tenure. homes targeted at the older persons’ segment
important tenure. International benchmarks pressure off tenant services. With a desire to break a cycle of build-use-
suggest we should be providing specialist A concern raised by our focus groups is dispose-rebuild, this requires developing
housing for around 15% (1.2 million) that much of the existing older persons’ stock with enough flexibility to meet
of households aged 65 or over. However, housing stock is not fit for purpose – evolving care requirements.
savills.com/research 6 7Investing in land Investing in land
As larger providers move into local
markets, there is a greater risk of
housing associations outbidding each
other and artificially inflating land values
The plots thicken Three-year review The proportion of HAs that hold strategic
land has been consistent, but the volume they hold has increased
Housing associations are becoming more active in Do you currently have investments in strategic land?
the land market. Trouble is, they’re not the only ones
Words Lydia McLaren
Availability of land continues to be a challenge. Some 39% of associations already Survey respondents suggest that as larger
It’s the standout factor, with 78% of housing have strategic land and 64% are seeking providers move into local regional markets, No Yes No Yes No Yes
2017 2018 2019 39%
association (HA) respondents citing it as the to acquire some within the next five years, there is a greater risk of housing associations 65% 35% 65% 35% 61%
main constraint on development. And, as the a slight increase on last year. This marks outbidding each other and artificially
range of players in the land market diversifies, the continued ambition to move towards inflating land values.
housing associations face more competition, a strategic approach to land. Access to land is becoming more
which pushes up land values. Last year, we discussed the risk of fundamental to the sector, with both housing
Housing associations are increasingly competition for Section 106 stock within the associations and local authorities actively
happy to take on land-led development as it sector. This year, there is the same risk of pursuing it. Faced with a shortage of land
gives them ownership over the development competition, but it is now moving to the land supply, partnerships and an enabling policy If yes, how much?
process, and allows them to retain control market. The increase in smaller sites sold to focus – such as the recommendations in
over what is built and how it is built. housing associations of between 50 and 100 the Letwin Review – are needed to help
The competition for Section 106 and some units highlights the sweet spot of demand. improve access to land opportunities.
high-profile issues with the quality of stock
coming through, have also encouraged some
providers to change their focus towards Land-led development gives HAs
land-led provision. With 33% of housing ownership over the process, and
association respondents using Section 106
allows them to retain control
homes for 26%-50% of their development
programme, we expect to see this decline
as providers pursue land-led opportunities,
dependent on grant availability.
We have seen greater activity from housing
associations in the land market over the
past year. The majority of this is for small
sites between 50 and 100 units, with bidding
activity rising by 150% in the past two years,
More than 500 homes: More than 500 homes: More than 500 homes:
as reported by Savills land agents.
26% 24% 34%
Section 106 homes Proportion of housing association respondents 2017 2018 2019
who use Section 106 homes in their development programme
Source Capacity survey
Over 91%*
51-90%*
26-50%* ESTATE estate regeneration has a Despite estate a pot of money for
REGENERATION role to play in solving the regeneration being a core estate regeneration and a
Driven by social purpose, housing crisis. They feel pillar of the sector, our separate funding source for
11-25%* estate regeneration offers that development potential focus group recognises delivering new homes. They
the scope to redevelop in existing land and vacant the vast complexities also note a planning and
Up to 10%* estates and improve sites can be unlocked and challenges involved. housing policy gap around
housing conditions, through regeneration and Regeneration is a long- estate regeneration that
creating new sustainable that there is opportunity term process that serves inhibits activity. The debt
We don’t have a development programme
communities. This can be to increase density in as a drain on finances and cap removal could boost
achieved by replacing some sites. But the resources. Balancing local authority estate
We don’t acquire Section 106 homes existing poor-quality stock message was clear: viability with delivering regeneration as it provides
and tackling the stigma post-Grenfell, the housing the right outcome for some much-needed funding
of social housing. crisis is considered much residents is key. firepower, but public policy
0% 5% 10% 15% 20% 25% 30% 35% From our survey, 91% of more multi-faceted than Our focus group believes must provide more backing
Percentage respondents believe that building more homes. that the sector requires for the process.
Note *Proportion of development that is S106 Source Capacity survey
savills.com/research 8 9New entrants New entrants
More than 70% of local authorities indicate they
72%
The percentage of respondents
plan to increase their delivery of homes for social who believe FPRPs have a role
rent, affordable rent and shared ownership to play in the housing crisis
Finding their place For Profit Registered Providers
To what extent do you agree with the following statements?
Local authorities can now make a meaningful contribution to affordable housing. We Proportion of respondents Key Agree Not sure Disagree
look at their ambitions, plus the growing influence of For Profit Registered Providers
Words Lucian Cook
10%
Local authorities: sleeping Political pressures and cycles are cited That suggests many of the most obvious
32% 29%
giants ready to re-engage? as constraining factors by our focus development opportunities have been 37%
Not-for-profit housing associations have groups. While local authorities often want sold off and a more proactive approach 25%
48%
been the engine room for new affordable to build new homes regardless of political is needed to identify future potential 65%
housing delivery since the decline of local allegiance, decisions can often be based development sites.
authority housebuilding. However, with the on short-term political interests, which Other obstacles are similar to those
abolition of the Housing Revenue Account may not marry well with longer-term experienced by housing associations. But 24%
(HRA) borrowing cap, local authorities development programmes. where they differ most is the extent to which 31%
potentially have the financial firepower Despite the lifting of the HRA borrowing their organisational capacity is considered
to re-engage in housebuilding. cap, 61% of local authority respondents a limiting factor. While 22% of housing
More than 70% of the local authorities cite financial capacity as the main funding association respondents believe that this
FPRPs are as concerned with FPRPs will introduce innovative FPRPs will provide additional
who responded to our survey indicate barrier. It may be that authorities are acts as a major constraint on their ability development and management
tenant welfare as not-for-profit affordable housing beyond what the
they plan to increase their delivery of responding to the general austerity to build more homes, the figure rises to registered providers strategies and systems to the sector sector could deliver without them
homes for social rent, affordable rent and affecting their budgets. It may be that 45% of local authorities.
shared ownership. More than 25% envisage many have still to work through the full Our focus groups feel that many
a big increase. implications of the new flexibilities. (though not all) local authorities have lost Source Sentiment survey
This reflects the ambitious development It is also important to remember that the expertise and experience needed to
programmes announced by many local 48% of local authorities do not have a housing engage in significant housing delivery.
authorities. For example, Southwark aims revenue account. Many need to develop Concerns are expressed over their ability For Profit Registered Providers Where FPRPs score well is in their ability FPRPs that deliver housing at different
to deliver 11,000 new council homes by a significant revenue stream and explore to recruit skilled technical development (FPRPs): disrupting the future to introduce innovative development and price points and across different tenures
2043, while Ealing has adopted London’s alternative models of specialist housing staff within existing pay frameworks. direction of the sector? their potential to deliver additional affordable and through different mechanisms can
largest council housebuilding programme, development companies. The lifting of Consequently, partnerships across The amount of stock held by FPRPs has housing by using institutional funding to be supportive of traditional housing
targeting 1,138 genuinely affordable homes the HRA borrowing cap has undoubtedly local authorities, with registered providers increased by 149% in the past year (albeit boost overall capacity. associations and local authorities.
by March 2022. opened up opportunity, time will tell if and the private sector, are either ongoing, from a low base of 873 units). This is leading So, what is the role of FPRPs? The biggest An example of this is traditional housing
they can capture it. planned or being considered over the next to concerns that they are diverting funding percentage increase in affordable housing associations moving towards more
The obstacles The most significant perceived five years by the majority of respondents. from traditional housing associations and delivery by FPRPs between 2017 and 2018 is land-led development, giving FPRPs
Local authorities will need to adapt to constraint on local authority development affecting pricing in the Section 106 market. in the provision of low-cost home ownership. a clear role to play in delivering Section
achieve their delivery ambitions and is a lack of land, which is surprising given Press coverage has served to exacerbate this Here, output rose 23% last year. It is a sector 106 homes.
contribute significantly to housing delivery. the extent of their property holdings. public perception that FPRPs are changing of the market that appears to be well-suited The opportunity is to find more areas
the direction of the sector. to the FPRPs. It is also one which will where FPRPs can provide additional
Despite this, 72% of respondents believe assume heightened importance when Help delivery, because, as one of our focus
that FPRPs have a role to play in solving to Buy ends in 2023 (See our 2019 Spotlight: group notes, “there is enough of
the housing crisis. Arguably, FPRPs have Shared Ownership). a housing crisis to go around”.
Local authorities challenged and refocused the sector, with
What are the top three funding barriers? respondents describing them as ‘alternatives
with a different agenda.’
Key Top barrier 2nd barrier 3rd barrier
Our focus groups are divided on the role of
The biggest increase in affordable housing
FPRPs, but note a tendency within the sector delivery by For Profit Registered Providers
Financial capacity within the local authority
to view new players with scepticism. The is in low-cost home ownership
results suggest much of this focuses on the
perceived tension between delivering housing
Corporate treasury management strategy as a social good and returns to investors. This
is perhaps best demonstrated by the fact that
65% of respondents to our sentiment survey
Member appetite within the local authority feel that FPRPs are less concerned with
tenant welfare than traditional providers.
Though FPRPs are subject to the same
There are no barriers regulatory standards as other registered
providers, our focus groups also highlight
0% 20% 40% 60% 80% 100% the need for them to demonstrate ongoing
Proportion of respondents good governance and a social conscience that
Source Capacity survey overrides a desire to maximise profit.
savills.com/research 10 11Partnerships Partnerships
Over the past 12 months,
Homes England has
agreed strategic
partnerships with 23
housing associations
Competition or collaboration? HOUSING ASSOCIATIONS
Partnerships with either other housing associations, local
authorities or private developers are being undertaken,
As challenges in the sector evolve, local authorities and housing associations are planned or considered in the next year by at least 70% of
increasingly looking at partnerships as a way to share resources, capacity and skills housing associations. Over the next five years this rises to at
least 80%. Full mergers are less popular, but those considering
rises significantly between the one and five-year time frames.
Words Josh Rose-Nokes
A commitment to provide homes for those five years. For both housing associations Housing association partnerships The appetite to form different partnerships in the short and medium term
who need them in volatile political, economic and local authorities, partnerships with
Key Already doing Plan to do so Considering
and social times is a clear message from the each other are being actively considered.
survey and focus groups. However, alongside This was also a standout theme in the
a common purpose, there are, inevitably, focus groups, with attendees describing
common challenges. Meeting those an appetite for partnerships. The potential HA merger
(in the next year)
challenges requires a much greater need for for local authorities and housing
partnerships; for which there appears to be associations to work more closely, not
a strong appetite. only with each other but also with their
HA merger
peers at a local or sub-regional level,
(in the next five years)
The drivers comes through strongly.
As we explain earlier in this report, housing So, what are the benefits of a partnership?
associations are increasingly looking to move For local authorities, it lies in providing
away from Section 106-led delivery. To do access to resources, capacity and skills,
Partnership with institutional investor
so, they need to secure land supply at viable and opening up shorter-term development
(in the next year)
prices. Competition for land will intensify, opportunities at scale.
particularly as the lifting of the HRA For housing associations, partnerships
borrowing cap gives local authorities scope enable the delivery of opportunities at scale
Partnership with institutional investor
to become more active in land markets. while avoiding unnecessary competition.
(in the next five years)
Land-led development also requires This can include influencing local or sub-
skill sets which are not widespread in the regional planning policy and infrastructure
sector. Organisations compete for the same investment, and engaging effectively with
workforce and expertise. This has been an local authorities and local government.
issue for housing associations for some time; Partnership with one or more HAs
(in the next year)
local authorities will add to this pressure. The role of the private sector
The availability of grant has improved, Partnerships are already widespread
but remains low in a historical context and within the sector and our analysis suggests
associations are faced with the challenge that about £1 billion was invested in Partnership with one or more HAs
(in the next five years)
that a slowing housing market presents to joint ventures last year. This is likely an
cross-subsidised affordable delivery. understatement, as accounting covers up
So, problems come, in part, from within the off balance sheet activity to a degree.
sector. Encouragingly, the survey responses Partnerships with the private sector
and focus groups suggest that solutions do, too. have already had an important role and the Partnership with one or more local
authorities (in the next year)
survey and focus groups suggest they will
The opportunity continue to do so. When they work well, they
We asked respondents about their spread risk and accelerate delivery. In the
likelihood to engage in partnerships focus groups, the importance of long-term Partnership with one or more local
during the next year and in the following partnerships, focusing on repeat business, authorities (in the next five years)
Partnership with private developer
(in the next year)
Partnership with private developer
(in the next five years)
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Proportion of respondents
Source Capacity survey
savills.com/research 12 13Partnerships
Strategic partners have secured around
£1.7 billion grant funding to deliver some
40,000 additional affordable homes
LOCAL AUTHORITIES
In the short term, for local authorities there is most appetite
for partnerships with other local authorities (almost 70%) and
private developers (over 70%). In the longer term, appetite
for partnerships with housing associations dramatically
increases by more than 30% and appetite for partnerships
with other local authorities falls by almost 20%.
Local authority partnerships The appetite to form different partnerships in the short and medium term
Key Already doing Plan to do so Considering
Partnership with one or more HAs
(in the next year)
Partnership with one or more HAs
(in the next five years)
Partnership with institutional investor
(in the next year)
Partnership with institutional investor
(in the next five years)
Savills Residential Research
We provide bespoke services for landowners, developers, occupiers and investors across the
Partnership with one or more local lifecycle of residential, commercial or mixed-use projects. We add value by providing our clients
authorities (in the next year)
with research-backed advice and consultancy through our market-leading global research team
Partnership with one or more local Savills Housing
authorities (in the next five years) Robert Grundy Helen Collins Terry Frain Joseph Larke Robert Pert
Head of Housing Head of Housing Financial Consultant Head of Housing Head of Housing
020 7409 5995 Consultancy 020 7299 3070 Division Development and
rgrundy@savills.com 020 7409 8154 tfrain@savills.com 020 7409 9983 Regeneration
Partnership with private developer hcollins@savills.com jlarke@savills.com 020 3107 5498
(in the next year) rpert@savills.com
Partnership with private developer Savills Research
(in the next five years)
Lucian Cook Chris Buckle Josh Rose-Nokes Lydia McLaren Emily Williams
Head of Residential Director Associate Director Analyst Associate Director
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Research 020 7016 3881 020 7409 5907 020 3428 2939 020 7016 3896
020 7016 3837 cbuckle@savills.com josh.rosenokes lydia.mclaren ewilliams@savills.com
Proportion of respondents
lcook@savills.com @savills.com @savills.com
Source Capacity survey
a strategic approach and equal sharing of Over the past 12 months, strategic for a more flexible grant system. The key Survey Partner
risk and reward, is a strong message. partnerships have been agreed with 23 features of strategic partnership funding are: Luke Cross
housing associations. Collectively, the certainty; flexibility; and the ability to draw Editor, Social Housing
The role of government strategic partners have secured around down grant against eligible cash spend. 020 7772 8468
Beyond this, the government recognises the £1.7 billion grant funding to deliver some The message is clear. Partnerships are, www.socialhousing.co.uk
need to respond to the sector’s request for 40,000 additional affordable homes beyond and will continue to be, hugely important
a more flexible grant system. Homes England pre-existing delivery plans. This responds in the sector and can open up opportunities, Savills plc is a global real estate services provider listed on the London Stock Exchange. We have an international network of more than 600 offices and associates throughout the Americas, UK, Europe, Asia-Pacific,
Africa and the Middle East, offering a broad range of specialist advisory, management and transactional services to clients all over the world. This report is for general informative purposes only. It may not
has been active in forming partnerships. to a long-term ask of housing associations accelerate delivery and reduce risk. be published, reproduced or quoted, in part or in whole, nor may it be used as a basis for any contract, prospectus, agreement or other document without prior consent. While every effort has been made to ensure
its accuracy, Savills accepts no liability whatsoever for any direct or consequential loss arising from its use. The content is strictly copyright and reproduction of the whole or part of it in any form is prohibited
without written permission from Savills Research.
savills.com/research 1433 Margaret Street London W1G 0JD +44 (0)20 7499 8644
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