The Social and Affordable Homes Programme

As part of its June 2025 Spending Review, the government announced £39bn in funding for the next Affordable Homes Programme which will be titled the Social and Affordable Homes Programme (SAHP). This funding will be spread across ten years.

Spending will reach £4bn per year in 2029-30 and will then rise in line with inflation.

The government has since shared more information about the SAHP and how the funding will be allocated, including:

• A delivery target: the government aims to deliver 300,000 homes over the programme, with at least 60% or 180,000 of the homes for social rent. 
• The tenure mix: the remainder of the SAHP will be for other tenures including shared ownership, affordable and intermediate rent tenures. Full details will be set out in the SAHP prospectus.
• Regeneration schemes: funding will also continue to support some regeneration schemes that provide a net increase in homes and allow for a limited number of acquisitions of existing housing stock. 
• Funding flexibility: there will be no further ringfenced budgets or targets. Instead, recognising that some types of social and affordable homes cost more to deliver (such as supported housing and rural homes), the programme will be designed to be flexible to support greater diversity in tenure types.
• Delivery agencies: up to 30% of SAHP funding (up to £11.7bn) will be administered by the GLA, with the remainder going to Homes England.
• The role of EMSAs: established mayoral strategic authorities (EMSA), such as those in the West Midlands and Greater Manchester, will be able to set the strategic direction of the SAHP in their areas through collaboration with Homes England. The Ministry of Housing, Communities and Local Government (MHCLG) will set out upfront indicative spend per EMSA, subject to suitable projects. Homes England will remain the single window for applications, with builders expected to align with local priorities. 
• Continuous Market Engagement and Strategic Partnerships: the SAHP will allow bids for individual projects on an ongoing basis, and for Strategic Partnerships over the life of the programme, with homes completing after 2036 also eligible. 

More information about bids to the SAHP is expected from Homes England in the autumn. Bids will then open in the winter. We will keep members updated as this develops. 

Members are encouraged to begin discussions with Homes England now, as there is no need to wait for formal guidance. The NHF is also engaging with Homes England ahead of the publication of the SAHP prospectus. If you would like to be involved in that engagement and ensure your voice is heard, or have any questions in the meantime, please get in touch.