2. Questions to the Minister for Housing and Local Government – in the Senedd on 16 December 2020.
7. Will the Minister provide an update on the supply of new homes in Wales? OQ56028
A themed set of questions today, Llywydd. Yes, Mark, increasing the number of homes being built, particularly for social rent, is a fundamental priority for this Government. We've made record levels of investment in housing and I'm confident of delivering our ambitious target of 20,000 affordable homes during this term of Government.
Well, the COVID-19 pandemic has delivered a sharp shock to the UK housing market, with the number of new homes registered to be built in the first three quarters down in all UK nations. However, Wales was starting from the lowest base. Last year—the highest year for UK new home registration since 2007—the numbers in Wales fell by over 12 per cent on the previous year, and the number of new homes built by 13 per cent to the lowest number since 2012-13. Social housing stock in Wales only increased 1 per cent, with just 1,288 new social housing or homes built.
How do you therefore respond to the statement by the Back the Bill campaign, backed by the Chartered Institute of Housing Cymru, Shelter Cymru and Tai Pawb, that Wales is in the midst of a housing crisis—demand significantly outstrips supply, many people are unable to afford homes in their local communities—and its call for a right to adequate housing in Wales, and to calls across the sector for the next Welsh Government to deliver 20,000 new social homes during the next Welsh Parliament term?
Yes, Mark, I absolutely share your commitment to building a large number of social houses as fast as we can go. Housing is a key priority for the Government and that is why we've made the record investment of £2 billion in housing during this Government term. We've also been consistent in our message that social housing is our top priority, which is why it makes up the single largest element of our commitment to deliver the 20,000 additional affordable homes during this term of Government, which I'm very confident we have done.
The shame about the pandemic is that we would have overstripped that by some way if it hadn't been for the pandemic. But, nevertheless, in contrast to the stats that you've just read out, our latest statistical release—the Government's statistical release—shows that local authorities reported 2,592 additional affordable housing units delivered across Wales, which is a 12 per cent increase on the previous year and the highest annual total to date. A total of 13,142 additional affordable homes have been delivered from 2016 to 2019, and early indications are that 2019-20 will see a significant increase on the improved delivery of 2018-19. In 2019-20, we invested over £137 million in social housing grants and over £25 million in housing finance grants to support the provision of social housing across Wales. And a further £89 million has been budgeted this year.
In addition to that, we're investing £75.1 million of revenue funding over 29 years under the affordable housing grant programme to support local housing authorities to build new council homes. Around 400 new social homes are expected to be funded through this new initiative across Wales. We've already provided councils in Wales with £40 million to support property owners to help bring their empty properties back into use, and to date, we've invested around £90 million in innovative housing solutions under our innovative housing programme. This year's programme sees a further investment to accelerate our ambitions to build high-quality, energy-efficient, low-carbon social homes at scale and pace. And I recently announced £25 million for the IHP modern methods of construction special fund, as I just discussed with my colleague Joyce Watson, and a £19.5 million fund for the optimised retrofit programme, which I've just outlined in this answer.
Our latest new house building in Wales stats for October to December 2019 were published on 5 March 2020. During the 12 months to the end of December 2019, a total of 6,129 new dwellings were started, which is up 2 per cent on the 12 months to the end of December 2018. And during 12 months to the end of December 2019, a total of 6,071 new dwellings were completed, which is up 4 per cent on the 12 months to December 2018.
Finally, question 8, Mark Reckless.