UKREiiF | Pennycook hits back at critics over housing strategy

Housing minister Matthew Pennycook has defended the government’s approach to planning and housing reform, rejecting claims it was ‘underprepared’ on entering office.

Pennycook used a keynote opening speech at UKREiiF in Leeds this morning to take aim at government critics, in the face of a house-building slowdown which has seen levels of completions fall by nearly ten per cent in the last year alone.

Rising borrowing costs, planning delays, and weaker market conditions have prompted ever-louder questions from some quarters about the government’s ability to meet its long-term housing targets, including building 1.5m homes before the end of the current parliament in 2029.

He told delegates his government would stay the course despite the strong headwinds facing the industry, adding that he was “acutely aware” of the difficult environment for the sector.

“Uninformed critics will no doubt decry my reference to stronger headwinds as an attempt to deflect blame for early falls in housing delivery that I can assure all of you was fully expected and anticipated in opposition,” said Pennycook.

“The government arrived in office with a bold and comprehensive plan to build the homes and infrastructure the country needs. We are faithfully executing that plan, and it is beginning to bear fruit. And while the headwinds are undoubtedly growing stronger, we are going to stay the course and finish the job.

“Over recent days, I’ve listened with some amusement to colleagues’ claims that we arrived in government underprepared and lacking clarity of vision and direction. When it comes to housing and planning, nothing could be further from the truth.”

“We used every waking moment in opposition to develop a bold and comprehensive plan.”

The revised national planning framework, which went out for consultation in December, is due to be published in its final form this summer – part of a swathe of government policy which takes aim at reducing delays in the planning system.

Pennycook laid the blame for the country’s ongoing housing crisis at the door of the previous Conservative administration, describing the system inherited by the incoming Labour government in 2024 as “an abject failure”.

He added that raising mandatory housing targets, strengthening the government’s approach to Brownfield policy, and a modernised approach to releasing Greenbelt land would boost GDP by £6.8bn by 2029, changes he said would lead to the highest level of house building in 40 years.

“No government in living memory has done more to tackle the country’s housing and infrastructure deficit than the one I’m proud to be a member of,” he added.

“While much has been done, there obviously remains much more to do as we strive to hit our incredibly stretching target of 1.5 million new homes in this parliament.

“Everyone in this room will know that the very real challenge is that the sector has experienced over recent years.

“I want you to know that the secretary of state and I are acutely aware of the more uncertain environment in which you are now operating, [and] we also appreciate your present challenges.”