Council leaders say new homes 'formula' ignores swathes of the country

London and the south will see a housing boom, while parts of the north will see fewer houses built under revised targets, council leaders said.

The Local Government Association (LGA) said a new government formula introduced a “grim variation” in where to build new homes.

The analysis suggested that, compared to the current formula, the highest percentage increase in new home growth will be expected in the Midlands and the South, with lower growth rates in the Northern regions.

Under new national targets, London is expected to see a 161% increase in housing, a 57% increase in new homes in the Southeast and 39% in the Southwest, the LGA said.

In comparison, the proposed housing targets for the Northeast are 28% lower than the existing supply, 8% lower in the North-West and 6% lower in Yorkshire and Humberside, the report said.

David Renard, the LGA housing spokesman, said: “Councils have expressed concerns about the government’s new housing numbers and it is positive that ministers have indicated their willingness to listen to and work with the local to get.

“According to these plans, some parts of the country will have to increase housing construction with doubling of existing targets.

“Others, mainly northern cities, will be told they need to build less, which could reduce the number of houses they had set aside for development and squash their current housing plans.

“This jeopardizes any ambition to take the country to the next level.”

The LGA represents councils in England and Wales.

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