Join us every month when we'll be taking a look at the UK housing headlines making the rounds. Breaking down the key information and giving you our thoughts!
Experimental AI proposed to help councils meet housing targets
A new generative AI tool, developed through the government's AI incubator and the Digital Planning Programme, aims to modernise the UK's outdated planning systems by digitising paper documents, in theory enabling faster and smarter decisions. With this planned to support the government's Plan for Change, which targets the construction of 1.5 million new homes.
Currently, many councils rely on paper and scanned PDFs, which may contribute to delays and inefficiencies.
The new tool, called "Extract", can convert handwritten or otherwise unclear documents into digital data, reducing planners' workloads and potentially improving accuracy. Technology secretary Peter Kyle and Housing Minister Matthew Pennycock emphasised the tool's role in cutting backlogs and enabling councils to make quicker, data-driven decisions. The implementation of "Extract" is part of a wider suite of planning reforms aimed at stimulating economic growth and boosting housebuilding efforts.
Lumensol Says: “Planning delays have long been a barrier to delivering the homes communities need. if this AI tool can effectively reduce manual data handling and free up planning officers to focus on decision-making, it could be a powerful enabler for housing targets.
But success will also depend on how well it's integrated into existing workflows and whether councils have the digital maturity to make full use of it. Tools like this are promising, but they must come with investment in skills and systems at the local level.
Natalie Tuer, Director of Technology and Product Development
London Council buys homes from association for temporary accommodation use in £235m deal
The Westminster City Council has secured a £235 million deal to purchase 350 homes from housing association A2Dominion for use as temporary accommodation, aiming to address rising homelessness and provide stability for those awaiting permanent housing.
Funded by Macquarie Asset Management on behalf of Phoenix Group, the 42-year inflation-linked agreement includes a two-year rent-free period and guarantees rental income for the council. As part of the deal, Westminster will refurbish the properties to meet an EPC rating of at least C, and has the option to acquire full ownership at the end of the term.
Council finance director Gerald Almeroth highlighted the move as a response to growing homelessness pressures, while Macquarie's Gareth Edwards noted the council's high regulatory rating. The initiative reflects Phoenix Group's commitment to tackling affordable housing issues, expanding their social housing investment to £1.5 billion.
Lumensol Says: “ This is welcome news - but is it enough? There are over 66,000 families in London living in temporary accommodation and while 350 additional homes that are energy efficient is great news, it is a drop in the ocean and still not a home of their own.
The housing crisis facing London and the rest of the UK needs a seismic change. If a new house was to be built for every homeless family in London it would cost billions and we, as a country, cannot afford it.
Knowing the families who live in temporary accommodation is a critical first step in providing them with the support to help them to help themselves. Knowing the conditions they live in is also important, and making sure their homes are suitable and well maintained - which with increasing demand is getting more challenging.
Thhis crisis is so significant that money alone cannot solve it. We need to understand the core issues that have led us to this point. If we don't, there will be many more children who have never known a home of their own."
Anna Benbow, Executive Consultant, Asset Management Services