The UK Housing Review Autumn Briefing 2025, published by the Chartered Institute of Housing (CIH), highlights both the opportunities and risks in the government’s housing agenda - with new investment in social and affordable homes welcomed, but growing concern that ambitious housing targets may fall short and that council housing finances are at breaking point.
Published ahead of the Autumn Budget, and against a backdrop of continuing economic challenges, the briefing provides updated analysis of housing policy developments across England, Scotland, Wales and Northern Ireland since the publication of the UK Housing Review 2025 in March.
CIH senior policy adviser John Perry notes that while the UK government’s ambition to build 1.5 million new homes during this parliament is “stretching and welcome,” delivery is falling behind.
Forecasts indicate that output could fall around 25 per cent short of the target, with construction capacity, planning delays and financial constraints all contributing factors. Even with increased funding through the new £39 billion Social and Affordable Homes Programme and the creation of the National Housing Bank, both the private and social sectors are struggling to expand delivery while meeting higher quality and safety standards.
Council housing finances “at a crossroads”
An article in the briefing by Hakeem Osinaike, Executive Director of Housing at Southwark Council, warns that the financial sustainability of council housing is under intense pressure.
Rising costs, policy restrictions and low rent increases have left many councils forecasting Housing Revenue Account (HRA) deficits, forcing them to pause or cancel maintenance and development plans. The paper calls for the new government to revisit the original HRA debt settlement and deliver long-term reform to ensure councils can invest in safe, sustainable homes.
“Without a sustainable HRA framework,” Osinaike writes, “councils will struggle to maintain existing homes, let alone build new ones.”
“Jam today and savings tomorrow” for affordable housing finances
Professor Mark Stephens of the University of Glasgow warns that while the government’s Spending Review increased capital investment, “day-to-day budgets remain tight and the overall fiscal position leaves little room for flexibility.”
The Review describes the Spending Review as offering “jam today and savings tomorrow” - a short-term boost to investment that may be difficult to sustain without stable long-term funding.
Across the UK: shared challenges and local responses
The Autumn Briefing also examines how the housing crisis is playing out differently across the four nations:
- In Scotland, the declared housing emergency has prompted an Action Plan, though efforts still fall short of what is needed
- In Wales, housing remains high on the political agenda, but capital constraints limit delivery
- In Northern Ireland, the housing crisis is deepening despite the return of devolved government
- In England, new devolved housing powers and planning reforms promise more local control but raise questions over delivery capacity.
Beyond finance and targets, the briefing also explores planning reform, land value capture, homeownership prospects for first-time buyers, private rented sector regulation, retrofit and net zero delivery, leasehold and commonhold reform, and housing and health inequalities - offering a comprehensive snapshot of the state of housing across the UK.
