Seven London councils back legal action over GLA’s cut to affordable housing requirements

The proposal was part of a package of “emergency” measures by London mayor Sir Sadiq Khan and the government to tackle the sharp slowdown in development in the capital.

The councils allege that the move to reduce the affordable quota in the London Plan was done “without using the proper statutory process”. They also claim a “lack of a fair consultation before the policy change was made” and a “lack of evidence”, according to a statement on Tower Hamlets’ website.

Lutfur Rahman, executive mayor of Tower Hamlets, said: “It is a scandal to cut the affordable housing quota when the need for genuinely affordable homes has never been greater.

“Our city is increasingly being turned into an investment asset for the super rich rather than a place where ordinary Londoners can afford to live, work and raise a family.”

Tower Hamlets Council is run by Aspire, a local political party led by Mr Rahman. 

Hackney and Lewisham councils are now controlled by the Green Party after it won control from Labour in last month’s local elections.

Zoë Garbett, executive mayor of Hackney, said: “The mayor of London is no longer surrounded by councils willing to sign off any developer-driven decision he wants to make. Hackney now has a mayor who will go to bat for affordable housing.”

Liam Shrivastava, executive mayor of Lewisham, said: “While we understand the challenge the mayor of London faces in terms of a stalled housebuilding market and a developer-led model that is broken, he has provided no justification for these changes, which will undoubtedly reduce the number of affordable homes built in London.”

Waltham Forest and Hackney are now Green Party-led, after it took control from Labour after the local elections. 

Lambeth and Southwark are controlled by Green Party and Liberal Democrat coalitions. 

The National Housing Federation has also previously spoken out against the reduction of the affordable housing target in London. 

A spokesperson for the mayor of London said the capital was in the “most difficult period for housebuilding since the global financial crash” due to a “perfect storm” of factors. They pointed to high interest rates, rising construction materials cost, the legacy of the pandemic and Brexit, and a lack of skilled workers. 

The spokesperson said the 20 per cent measure was to “get shovels in the ground” now. “In terms of affordable housing numbers during this difficult period, 20 per cent of something will be more than 35 per cent of nothing,” they said.

They added: “Taking this action is the way to get more investment flowing into affordable housing quickly, delivering the homes Londoners badly need.”