Responding to the Chancellor’s Spending Review announcement, National Housing Federation chief executive, David Orr, recognised positive changes in housing and health and social care. However, Orr said full details of the capital settlement for new homes are needed to understand the true impact on the housing market.
He said the news that rents will be set to CPI + one per cent for 10 years is a positive step, which could help housing associations to start planning the construction of more homes.
Orr said: “We welcome the Government’s commitment of over £3bn for a pooled health and social care budget for integration. While there is huge pressure and demand on our health and care system, pooled funding removes some key barriers to more integrated services that better meet needs and reduce demand on the NHS.
“Housing associations are essential partners in delivering integrated health and care and help people stay healthy and independently at home, or leave hospitals as soon as possible to live in the community. Our members should be integral to local plans for making integration real.”
Talking about the Annual Managed Expenditure cap, Orr said: “It is understandable that the Government wants to cut the amount spent on benefits. But capping housing benefit within an overall cap is the wrong solution.
“The shortage of affordable housing must be addressed first. Without tackling the root of the problem, households will only be squeezed further.”
