Government set to miss public land housebuilding target by 95,000, says spending watchdog

Labour describes government’s efforts as ‘pitiful’, and said auditors’ report displayed little evidence ministers can fix housing crisis

An initial target had been set of enough land for 160,000 homes by 2020 (PA)

Ministers are set to miss a crucial target to build homes on public-sector land by 95,000 by the end of the decade, according to a damning new report by the National Audit Office (NAO).

The spending watchdog outlined that plans to release government-owned land for 160,000 homes by 2020 are unlikely to be achieved.

Auditors at the NAO claimed that by December 2018, the government had only released land with a capacity for 38,166 homes.

This is expected to increase to around 65,000 by the end of next year – 60 per cent below the official target outlined by ministers.

“The government currently does not expect to reach the 160,000 target until after 2025,” the auditors add.

Although the government has so far failed to find enough land to build the promised homes, the report said, it will still meet a target to raise £5bn through the sell-off of public land.

Labour described the government’s efforts as “pitiful”, and said the auditors’ report displayed little evidence the current administration can fix the housing crisis.

Meg Hillier, the chair of the Commons Public Accounts Committee, said the government must “get its act together” if it is going to deliver the promised homes.

She continued: “Not only is its programme highly unlikely to meet its target by 2020, it is also unable to provide basic information about the number of affordable homes for key workers being built.

“It is also unacceptable that the government does not have a national picture of where proceeds from the land sales have gone.”

Responding to the report, Labour’s shadow housing minister John Healey said: “This is pitiful. If this Conservative government can’t even get homes built on the land it owns, then there is no hope that ministers can fix our country’s housing crisis.

“The homes that are being built on former public sites are too few and too expensive, with housing built on former NHS land that nurses can’t afford to live on.”

Housing minister Kit Malthouse said: “We have an urgent mission to build more homes for the next generation so they can realise the dream of home ownership. The latest figures show us delivering 222,000 new homes, more than in all but one of the last 31 years.

“Government departments have identified enough surplus public-sector lands for 160,000 new homes and our development accelerator Homes England is providing expert assistance to get these properties built more quickly.”