As of October 2024, England faces a troubling statistic: nearly 720,000 homes lie empty. In the midst of his own, very acute housing crisis, with over 354,000 homeless folks, and 1.33 million households on the waitlist for social housing. We find ourselves extremely worried about the handling and use of vacant properties in our communities. 265,000 of these long-term empty homes have been long-term vacant for over 6 months. This depressing figure underscores the widening chasm between housing that’s out there and the increasing demand for housing.
The Labour government has set ambitious plans to address this crisis by aiming to add 1.5 million homes to the housing stock by the end of its term. This barrier is formidable considering the wealth of vacant homes scattered throughout the country. Despite various initiatives and funding programs designed to encourage owners to rehabilitate these properties, many remain unoccupied, leading to a frustrating paradox amid growing homelessness.
Corina Poore, a 36-year-old pregnant teacher, purchased a run-down Edwardian four-storey terrace house in New Cross Gate, south-east London, in 1980. She snapped up the land for a mere £3,500! Now, though, her former home, a shadow of its glorious past, is up for grabs on the market for an estimated £1m. Poore’s story underscores the potential for revitalization but highlights the challenges owners face in converting empty properties into livable spaces.
A number of sticks and carrots had been tried over the years to close that persistent gap. Our Empty Homes Programme between 2010 and 2015. It provided low-interest loans and grants to homeowners willing to restore long-term vacant homes to the rental market. At the same time, the New Homes Bonus scheme incentivised councils to get these properties back into use within the same timeframe. Opponents say the reality is that many councils continue to lack the resources and know-how to get tough with their vacant properties.
In March 2024, the government implemented an innovative policy. Under the new rules, councils are able to double their council tax on empty homes after just one year rather than two. The intention of this policy is to incentivize property owners to either move into or otherwise sell their abandoned homes. As property developer Benjamin Radstone notes, a number of factors prevent owners from taking advantage of every existing offer and incentive. Even with these steps, the challenges are still daunting.
“They’ll do it when they’re ready to do it.” – Benjamin Radstone
It’s all much more complicated than that, experts such as Adam Cliff of re:focus partners, warn. After all, each council will have different situations that motivated their empty homes. “If a council has 2,000 empty homes they want to bring back into use, they need 2,000 different solutions,” he said. Their resulting unique circumstances further complicate the search for appropriate solutions best suited to each individual unique case.
Angela Rayner, Labour’s local government secretary and a leading figure in the party, has promised to give councils greater powers to discipline rogue landlords. This action marks a positive step to make this process more efficient and prevent properties from remaining abandoned for years at a time. Matthew Pennycook, the shadow housing minister, is under pressure to see the No Use Empty model introduced throughout Kent. This program offers up to three years of interest-free loans to building owners willing to rent or sell their improved property after completion.
Though new opportunities are emerging through a variety of new programs and proposals to address this urgent issue, significant barriers still exist. The economic burden of rehabilitation certainly weighs on a lot of owners. The unpredictability of the housing market makes them risk averse to engage in these programs.
Corina Poore’s experience illustrates this dilemma. She noted that most of the homes are in worse condition than her house and probably only need the installation of a kitchen and a bathroom. She called on HUD to do more, applying stronger pressure to encourage more property rehabilitation.
“When you’re young you can do these things,” – Corina Poore
The heartbreaking truth about what homelessness is today goes hand-in-hand with these numbers. As the population of people lacking a permanent place to live increases, they further burden the local governments and housing agencies. We need not to panic but rather to get to work with great urgency. Those on social housing waiting lists are in need like never before.
Ann Devereaux, a resident aware of her neighborhood’s challenges regarding empty homes and safety concerns, expressed her feelings about living near such properties.
“It makes me feel scared when I leave my house or come in at night,” – Ann Devereaux
Communities are rightly concerned about the number of vacant homes. From crime concerns to increased blight and neighborhood decline, these abandoned properties wreak havoc on communities.
Tensions between homelessness and vacant homes grows. This unprecedented challenge requires new, smartly designed policies to incentivize property owners, but to make them accountable and equip at-risk communities with robust resources. Local authorities face tough decisions as they navigate the complexities of their housing stocks while striving to meet community needs.
“We’re now in a position where councils are actually saying, ‘Well, we’re being rewarded for homes being left empty longer,’” – Adam Cliff