Camden affordable homes slashed by hundreds

Hundreds of affordable homes originally pledged for significant Camden developments have been lost or are now uncertain. Developers have sought reductions to housing quotas, citing worsening economic conditions and increased construction costs as reasons for making projects less viable. This situation occurs while 8,380 people are on Camden Council's waiting list for social housing, as reported by the BBC.

Reductions at major sites

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At the Camden Goods Yard development, an eight-acre site, a revised plan approved on appeal in May saw the number of affordable homes reduced from 203 to 83. This represents a net loss of 120 affordable homes. The developer, Berkeley St George, was permitted to lower its affordable housing commitment from 32% to 13% for the 636-home project.

More recently, on Thursday, Camden Council approved revised plans to cut affordable housing at the O2 Centre site. The original commitment was for 570 affordable homes within the 1,800-home development. The approved reduction brings this figure down to 330 affordable homes. Landsec, the developer behind the O2 Centre site, stated that economic realities, including higher interest rates and increased construction costs, have shifted since the initial plans were approved. A spokesperson for Landsec said the updates were designed to respond to these wider changes and enable delivery, while still creating homes and providing open green space.

Businesses displaced for regeneration

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Regeneration projects in Camden have also led to the displacement of long-standing businesses. On Camley Street, two vehicle repair shops, Transauto and BMW Auto Services, were forced to leave in January to make way for a regeneration scheme involving Camden Council, Lateral, and Ballymore. This development aims to deliver 401 new homes, with nearly half intended to be affordable.

Trish Thomas, whose family ran Transauto for over 40 years, described the situation as having severe costs and a lack of assistance for relocation. Paolo, who co-owned BMW Auto Services for 40 years, stated the personal cost of leaving was at least £100,000, leading to him making a mechanic redundant and both himself and his father being unemployed. He also noted that nearly six months after vacating, no work had begun on the Camley Street site.

Camden Council said it had provided each business with tailored support, including financial compensation, rent-free periods, extended timelines to vacate, and a commitment to securing long-term solutions where possible. The council also stated it would consider evidence-based requests for additional assistance on a case-by-case basis. Regarding the Camley Street site, the council said it was in contract with a demolition contractor and that site surveys and preparatory works would take place ahead of demolition.

Housing crisis context

According to a Camden Council report, the borough is in a 'unique crisis of affordability,' being the third most expensive place to buy a home in the country. In 2025, 8,380 people were on the waiting list for social housing, and only 84 affordable homes were started in 2025-26, a figure described as among the lowest in London. The council is reportedly locked in disputes with developers seeking to reduce affordable and social housing quotas on regeneration sites.

On 16 July, the Mayor of London, Sir Sadiq Khan, introduced new draft plans to stimulate house building. These plans replace the previous city-wide affordable housing threshold with borough-specific goals. Under the new draft plan, Camden Council's affordable housing threshold increased from a previous quota of 20% to 35%.