Overview
- Ministers and Sadiq Khan formally unveiled an emergency package lowering the fast-track affordable requirement from 35% to 20% for large schemes in London.
- City Hall gains temporary powers to call in proposals of 50 or more homes facing refusal and to decide on developments over 1,000 square metres on green belt land, alongside density guidance relaxations and levy relief for quick starts.
- The measures are described as a use-it-or-lose-it intervention, subject to consultation, and due to expire around spring 2028.
- The Government cites a sharp drop in London housebuilding and viability pressures from high costs, interest rates and Building Safety Regulator delays; developers say the shift will unlock stalled sites.
- Labour MPs, borough leaders and homelessness charities warn of fewer social homes and enforcement risks, while officials say a profit-sharing or clawback mechanism is being developed to guard against under-delivery.