In 2009, UK housing association stock was estimated
to total 2,7 million units. This represents a growth of 2% on
2008. The housing association market has been sustained by
increased government expenditure, particularly through projects
promoting development of affordable housing such as Social HomeBuy,
and continued large scale transfers from local councils. However,
the increased cost of debt, falling private sector development and
restrictions on mortgage lending have all contributed to slower
growth in 2009.
The housing
association market is expected to experience further growth
between 2009 and 2014 as continued investment in new properties
and large scale transfers from local authorities boost dwelling
stock.
Public sector capital
expenditure is expected to decline from 2011 as current spending
levels are unsustainable against the background of public sector
debt. The general election due in May 2010 is likely to bring
about a significant spending review.
Demand is expected to
remain high for housing association properties and an improvement
in the private sector is likely to bring about renewed investment
from banks and through S106 arrangements.
England accounts for
the vast majority of housing association stock in the UK, with
Scotland, Wales and Northern Ireland accounting for around 15% of
stock.
General needs social
rented properties account for around three quarters of housing
association stock, whilst supported housing makes up a further
17%. The remainder of the market consists of shared ownership and
non social housing.
Leading housing
associations in England include the Sanctuary Housing Group and
London and Quadrant Housing Association. In Scotland the market
leaders are Glasgow Housing Association and Dumfries and Galloway
Housing Partnership whilst in Wales the market is led by RCT Homes
and Wales & West. In Northern Ireland the largest housing
associations are Helm Housing and Fold Housing Association.
