London boroughs have identified sites for more than 50,000 new council homes, according to analysis by London Councils, pending sufficient funding.

The pipeline would increase London’s council housing stock of about 390,000 homes by nearly 15 per cent, offering a major boost as the capital faces severe housing and homelessness pressures. Boroughs’ submissions to the London Social and Affordable Homes Programme (LSAHP) would require an estimated £12.3 billion in grant funding, slightly above the programme’s current £11.7 billion allocation.

London Councils says this shows boroughs’ commitment to expanding council housing and working with government on delivery. The organisation has welcomed the government’s increased investment and the GLA’s confirmation that council-led schemes will make up 60 per cent of homes in the initial LSAHP allocations.

It notes that London already has a strong record: the government has acknowledged the capital’s progress on council housebuilding, and half of all council homes built in 2024–25 were in London. Boroughs say they want to keep increasing delivery, improve housing quality, and ensure homes go to Londoners most in need.

London Councils is urging further support ahead of the Autumn Budget, including extra grant funding, reforms to Housing Revenue Account rules, access to low-interest loans, and more funding for acquisitions.

These measures, it argues, would make more projects viable, strengthen borough finances, and help councils buy existing homes to reduce temporary accommodation pressures and support stalled developments.

Photo by Andrea De Santis on Unsplash

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