After the Spring Statement: Key Funding & Policy Shifts Impacting Social Landlords
The 2025 Spring Statement delivered by the government in March unveiled a series of significant policy and funding changes poised to reshape the UK’s social housing landscape. From a substantial boost to the Affordable Homes Programme to pivotal reforms in welfare and planning policies, these developments carry profound implications for social landlords. Now that a few weeks have passed and the dust has settled, we take a look at some of the main things that are likely to impact social landlords and offer actionable insights to navigate the ever-evolving terrain.
£2bn Injection into the Affordable Homes Programme 2025
Chancellor Rachel Reeves announced a £2 billion investment aimed at delivering up to 18,000 new social and affordable homes across England. This funding is intended to accelerate housing delivery and alleviate mounting pressure in a sector already under strain.
While this move is widely welcomed, experts highlight that it only scratches the surface of the wider need. According to PBC Today, more structural reforms and sustained investment are essential to meet the scale of demand.
Action Point: Social landlords should proactively identify and prepare “shovel-ready” schemes to access this new funding stream. Early engagement with Homes England and local authorities will be key to progressing swiftly.
Universal Credit Changes 2025: A Double-Edged Sword
The Spring Statement also introduced notable adjustments to Universal Credit (UC). The standard allowance is set to rise above inflation—from £92 per week in 2025/26 to £106 by 2029/30. However, changes to the health component of UC mean that from April 2026, new claimants will receive 50% less, with the amount frozen until 2029/30.
These reforms aim to reduce long-term benefit dependency and increase employment among people with health conditions. However, housing and welfare organisations have raised concerns about increased financial pressure on vulnerable claimants.
Action Point: Social landlords should assess which tenant cohorts may be impacted and prepare financial support services accordingly. Proactive arrears prevention measures will be crucial.
Grey Belt Housing Policy: Unlocking New Development Opportunities
A headline-grabbing planning policy announcement was the formal recognition of the “grey belt”—areas of underutilised or previously developed land within the Green Belt. These sites, often degraded or low in ecological value, will now be prioritised for new housing, provided developments include sustainability measures and meet high design standards.
In line with this, developers building on grey belt land will be required to offer 15% more affordable housing than standard planning obligations, with the total capped at 50%.
Action Point: Social landlords should audit land banks for qualifying grey belt opportunities and start dialogues with local planning authorities about unlocking sites for social rent.
Welfare Reforms: Navigating the Implications
The Spring Statement also confirmed a sweeping £5 billion reduction in disability-related benefits, including cuts to Personal Independence Payment (PIP) and further changes to Universal Credit. These changes could affect over 3 million households, with some families losing more than £1,700 annually.
While the government frames these cuts as necessary for reform and workforce participation, critics—including disability advocacy groups—warn of the hardship they may impose.
Action Point: Social landlords must understand how these changes may influence tenants’ ability to maintain stable tenancies. Partnering with local welfare advice organisations will help mitigate impacts and support vulnerable residents.
Strategic Considerations for Social Landlords
The confluence of new funding opportunities, planning liberalisation, and welfare reform presents both opportunity and risk. A coordinated and data-informed approach will be essential to thrive amid these transitions.
Action Points:
- Data-Driven Insight: Tools like Mobysoft’s RentSense and RepairSense can help landlords identify financial risk and operational inefficiencies in real time.
- Cross-Sector Collaboration: Engage with developers, health services, and local planners to co-design housing schemes that align with new planning and funding criteria.
- Tenant Resilience: Anticipate increased support needs and invest in arrears prevention and welfare engagement strategies.
Looking Ahead: Resilience Starts with Readiness
The Spring Statement doesn’t just reflect shifting priorities—it sets a new tone for the future of housing in the UK. It underscores a move toward localisation, sustainability, and efficiency, placing greater accountability on landlords to adapt quickly and wisely.
In this context, data is your strongest ally. Platforms like RentSense offer early warning signals for rent arrears linked to benefit changes, helping landlords prevent evictions and sustain tenancies. Meanwhile, RepairSense can pinpoint poor-quality repairs or recurring damp and mould risks—factors that could jeopardise compliance or funding access under tightened housing standards.
Whether you’re assessing development opportunities under the grey belt housing policy, preparing bids for the Affordable Homes Programme 2025, or managing tenant hardship under the new Universal Credit changes 2025, one thing is clear: timely insights drive better outcomes.
Want to learn how Mobysoft’s platforms can help your organisation stay compliant, cut costs, and support tenants through policy change? Get in touch with our team or request a tailored demo today.
Mobysoft AI-powered PropertySense® applications RentSense® and RepairSense® help landlords improve their income-collection processes and the productivity, quality, and sustainability of their repairs service for the benefit of all involved.