Call for greater housing powers for London boroughs
The Mayor of London Boris Johnson and London Councils have today put forward plans for sweeping changes which could see London boroughs taking greater control of their housing budgets, as part of a proposed devolution package from Whitehall to London.
Together Johnson and London Councils have released “A Framework for Devolved Delivery”, which would give boroughs greater autonomy over housing budgets, place them at the forefront of negotiations with developers and give them more responsibility to ensure the needs of their local communities are being addressed.
By signing up to a voluntary Devolved Delivery Agreement, participating boroughs would have an agreed indicative housing budget set for the duration of the spending round to help them address their housing and regeneration priorities. In turn, a borough would commit to making better use of resources, deliver more affordable housing and contribute to the delivery of the London Housing Strategy. The London Mayor is already more than half way towards delivering 50,000 affordable homes.
The Homes and Communities Agency (HCA) is responsible for allocating more than 80 per cent of the housing funding for London. Under devolved delivery, the Mayor and The London Housing Board – which includes borough representatives – will agree an indicative budget for boroughs, allowing them to allocate this funding according to London-wide and individual priorities.
In a letter to all London boroughs today, Johnson and the chairman of London Councils, Mayor Jules Pipe, encouraged boroughs to comment on the plans put forward in the framework paper, and invited leaders to express an interest in entering into a Devolved Delivery Agreement.
The Mayor of London Boris Johnson said:
“I firmly believe we should empower London’s boroughs so that more decisions are taken directly by those in the communities they affect. I hope boroughs across the capital will consider the proposals we have announced today. I’m inviting them to enter into the devolution debate so that together, we can find the best way to unlock London’s housing potential, deliver more quality affordable housing and make sure we achieve our goal of halving serious overcrowding.”
Mayor Jules Pipe, chair of London Councils, said:
“Boroughs are firmly of the view that decisions about how housing budgets should be spent are best placed in the hands of boroughs, who understand the complex needs of their local communities. This framework is a good example of London’s local and regional government coming together to develop and deliver an innovative approach to devolution on an issue which has a huge impact on Londoners across the capital.
“By the Mayor and the boroughs working together we will be able to have a more efficient, flexible and accountable investment process capable of responding to London’s housing needs.”
David Lunts, London director of the HCA, said:
“The HCA is working closely with London boroughs to tailor new housing and regeneration investment to local needs. This initiative is a logical next step and we look forward to working with the Mayor and the boroughs to make it happen.”
Devolved Delivery Agreements would be entirely voluntary and boroughs can choose to participate but are not required to do so. It is hoped this approach will avoid the trap of the agreements becoming watered down pacts that have been enforced upon local authorities regardless of their capacity or enthusiasm for devolved housing delivery.
In return for signing up to an agreement, the boroughs would be required to ensure they have in place housing policies that meet the objectives of the London Housing Strategy, and agree a broad set of outcomes with the Mayor that ensures both London-wide and local housing needs are met.
