Thank you, Deputy Presiding Officer. It has been clear to me since I was appointed to this portfolio that we have a shared desire right across this Chamber to see an increase in the delivery of affordable housing. And, Dirprwy Llywydd, I've been equally clear that social housing in particular is my priority. The positive impact good-quality social housing has on someone’s life cannot be overstated. This is why my predecessor Rebecca Evans commissioned an independent review of our affordable housing arrangements last year to look closely at the approach we are taking and suggest changes that would help us deliver more.

On 1 May, I received the final report from the affordable housing supply review. The review made a number of recommendations about how we can ensure we are maximising the number of affordable homes we deliver in Wales whilst not compromising on energy efficiency, quality or affordability for tenants. The independent panel, chaired by Lynn Pamment, spent a significant amount of time looking at all aspects of affordable housing supply and today I'm very pleased to share the Government’s initial response to the recommendations with you. This is the first of what will be a series of responses to reviews and consultations that are due to report over the coming months. I will have more to say in due course on decarbonisation, planning matters and building regulations. I'm acutely aware of the need for the policies in all of these areas to be closely aligned. 

I want to, once again, thank the independent panel for their work. They engaged right across the housing sector and with Assembly Members. The time they invested in this review, regularly taking them away from their day jobs over the course of a year, is hugely appreciated. They have made a real and lasting contribution to Welsh housing, which I believe will have an enduring positive implication for years to come. It was very important to me that this was not a report that gathered dust on a shelf. I've been anxious, therefore, to respond quickly and decisively. I want you all to be aware of the Government’s intentions, which is why I supplied you with a written response to all recommendations earlier today.

I'm pleased to say that we've accepted or accepted in principle every recommendation, with one exception in respect of the future of Help to Buy. We're not in a position to respond until the autumn, when we are aware of the consequential funding we will receive from the UK Government. It is not my intention to go through each and every recommendation today. I do, however, want to offer my comments on some of the key findings.

The panel highlighted the importance of understanding housing need and some of the challenges local authorities face in this area. They highlighted the strong role Welsh Government could and should play, and the importance of strengthening the links between housing need and the planning process. I accept this critique and welcome their support for the work we have done on assessing need at a national and regional level. Their suggestion that this work should now be extended to a local level is one I support and intend to pursue.

I know that the setting of rent policy was one of the most challenging and contentious aspects of the review, with strong and conflicting views expressed from different parts of the sector. I agree with the review panel that there is a continuing need for a rent policy to provide certainty for tenants and landlords and that landlords should be considering value for money and efficiencies to justify rent increases. As a result, prior to the summer recess, I will be announcing what the five-year rent policy will be once I have received all of the necessary data. I will ensure my decision balances the need for landlords to have certainty about the rental income they can expect, together with affordability secured for tenants.

Another area of the review that I know provoked robust debate was around the nature of grant funding available to partners and the way in which this is distributed. The panel have recommended a new approach, moving away from our standardised approach to grant allocation to one of longer term funding certainty and a more robust assessment of value for money. Whilst I do not agree with all aspects of the approach the panel have advocated in their report, I accept the recommendation for change and greater flexibility. Some schemes do not require the amount of subsidy they currently receive, while others may not currently come forward because the level of subsidy is insufficient to make them viable. A team that will work with local authorities and housing associations has already been established to develop a new approach. This will ultimately allow us to ensure our significant investment in affordable housing is used as effectively as possible in the places it is needed most.