Social Housing reform: 150,000 new homes to be built

In the Comprehensive Spending Review, Chancellor George Osborne announced the building of up to 150,000 new affordable homes over the next four years.

Industry experts say social housing offers a long-term, inflation-linked investment opportunity for pension funds, while providing reliable returns.

The Spending Review document said: "In future, social housing will more effectively reflect individual needs and changing circumstances. Social landlords will be able to offer a growing proportion of new social tenants new intermediate rental contracts that are more flexible, at rent levels between current market and social rents.

"The terms of existing social tenancies and their rent levels remain unchanged. This is fair to households and reduces costs for taxpayers.

"Taken together with continuing, but more modest, capital investment in social housing, this will allow the Government to deliver up to 150,000 new affordable homes over the Spending Review period."

Further information: HM Treasury