Lewisham Council adopts new housing strategy

Lewisham Council has adopted a new housebuilding strategy designed to support community groups, housing co-operatives, and innovative providers in delivering more affordable homes. This strategy is a key policy for the council's Green administration. Its significance has increased following the recent announcement that Landsec has abandoned its plans to redevelop Lewisham Shopping Centre. The shelved Landsec masterplan had been expected to yield approximately 1,700 new homes, with an estimated 344 designated as affordable.

Mayor of Lewisham, Liam Shrivastava, stated on social media that "The way out of the housing crisis is through building social housing." He highlighted upcoming projects, including the community-led housebuilding strategy and a small sites aggregator initiative, which he believes could unlock thousands of homes across the borough.

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Community-Led Housing Explained

Community-led housing encompasses various models such as housing co-operatives, Community Land Trusts, cohousing, and self-help housing. These initiatives often aim to provide homes at below-market rents, contributing to the availability of affordable housing, including social rent properties. Advocates also point to benefits like increased resident control over housing and development, and positive impacts on health and well-being through shared living.

Strategy Development and Existing Projects

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The council plans to develop the new strategy through a Community-Led Housing Registered Provider Forum. This forum will bring together housing organisations and council officers to foster collaboration, share expertise, and identify housing delivery opportunities. The council anticipates the forum will also enhance community groups' access to support, funding, and development partners. The strategy may identify future housing development sites, potentially including council-owned land.

Lewisham has a history of community-led housing, with examples including Walters Way and Segal Way in Forest Hill, Church Grove in Ladywell, and Brasted Close Community Land Trust in Sydenham. Sanford housing cooperative in New Cross, established in 1973, was the UK's first purpose-built housing cooperative, involving the council and the former Greater London Council.

Challenges in Delivery

Despite the potential of community-led housing, challenges exist regarding the speed and scale of delivery. An investigation by the London Assembly housing committee noted that the sector faces numerous barriers, leading to slow progress. The committee chair, Sem Moema, observed that developing a single project can often take up to 15 years.

This observation is reflected in Lewisham's Church Grove project in Ladywell. The council first announced its intention for this community-led scheme in May 2013. Rural Urban Synthesis Society (RUSS) was appointed the preferred development partner in 2015, submitted a planning application two years later, and planning permission was granted in December 2018. The 36 self-build homes were only completed in February 2024, nearly 11 years after the council's initial intention.

A Liverpool University investigation estimated that the community-led housing sector had built around 26,800 homes in England up to 2016, with most being legacy cooperatives from the 1970s and 1980s. The report highlighted that the sector's overall output remained low despite increasing interest.

Next Steps for the Strategy

The council aims to increase the delivery of community-led housing, though the pace of this expansion remains uncertain. Currently, no specific spending has been approved to advance the new strategy, despite efforts to promote it. The mayor and cabinet are scheduled to review a report on potential financial support options for the strategy in March 2027. The council acknowledges difficulties in transferring land at below-market value, but may consider discounted or nil-cost transfers for schemes that deliver significant social value, such as those providing 50% or more social rent housing.

Mayor Shrivastava also drew attention to Lewisham's participation in a small sites aggregator pilot (SSA), which began in May 2025. This pilot, involving Lewisham, Bristol City Council, Sheffield City Council, and the Ministry of Housing, Communities and Local Government, focuses on accelerating homebuilding on smaller plots to increase social and affordable housing supply and reduce waiting lists.