London Mayor Sadiq Khan’s discussions with the government to relax planning regulations and potentially reduce affordable housing quotas highlight a frustrating pattern of shortsighted policies that prioritize appeasing developers over genuinely solving London's housing crisis. Under the guise of “accelerating housebuilding,” Khan is contemplating lowering the current requirement that 35% of new developments be affordable—potentially bringing it down to just 20%. This move signals an abandonment of the city’s responsibilities to its most vulnerable, replacing long-term social stability with superficial growth that caters to the interests of big developers and bureaucratic interests.

The development industry’s vocal support for these cuts — citing “viability” concerns — reveals a deeply problematic alliance that continues to put profits ahead of people. Industry figures, like the Home Builders Federation, claim that existing targets are “not viable,” glossing over the fact that such targets have historically driven both affordable and social housing development, even in challenging economic times. Their push for “flexibility” is nothing more than a license to water down commitments that could make a real difference to Londoners struggling with sky-high rents and insecure housing.

Meanwhile, official data paints a bleak picture. With only around 11,600 homes built last year in the capital—despite the government’s own target of 88,000 annually—London remains woefully short of meeting its housing needs. Fewer than 1,000 homes began construction in the last quarter, and affordable housing starts are at historic lows. These figures underscore the failure of Khan’s strategy and the overarching government approach, which clearly prioritizes short-term developer gains over addressing the housing emergency.

The government’s recent decision to cut the Mayor’s affordable housing targets by nearly a quarter—down from over 23,900 to just under 20,000 homes—further demonstrates their disregard for genuine progress. Instead of pursuing a comprehensive plan to expand housing stock, they’re resorting to minimalist targets that will hardly dent the scale of the crisis. This shortsightedness ignores the fact that increasing supply on London’s green belt, a controversial proposal Khan hints at, might exacerbate environmental harm and set a dangerous precedent for disregarding sustainable planning principles.

Khan’s leadership, instead of being a catalyst for meaningful change, appears compromised by an obsession with “progress” that is increasingly detached from the realities faced by ordinary Londoners. His “turbocharged” efforts—such as the Land Fund, which has enabled thousands of new homes—are commendable but insufficient in the face of systemic underfunding and the chronic shortage of council housing. His repeated promises to double council homebuilding by 2030 seem increasingly out of reach, especially given the political pressure to follow developer-friendly policies.

Amidst these developments, it is clear that London’s housing crisis will persist or worsen, with the government and the Mayor’s office betraying their duty to secure affordable options for the many. Instead of tackling greed-driven policies that favor profit over people, a true alternative is needed—one that prioritizes responsible planning, sustainable growth, and genuinely affordable homes. As this city continues to face mounting housing insecurity, it’s evident that current leadership remains beholden to the interests of big business rather than the needs of ordinary Londoners.

Source: Noah Wire Services