Labour’s Housing Goal Is a “Stretch” – Angela Rayner

By the Editorial Team · Saturday, July 25, 2026

Labour Housing Secretary Angela Rayner acknowledged that meeting the party’s goal of building 1.5 million new homes during this parliament is highly challenging due to rising construction costs and a recent slowdown in housing completions. Despite these difficulties and criticisms over policy impacts on developers, the government remains committed to pursuing the target without introducing rent controls.

Labour's pledge to build 1.5 million new homes over the current parliamentary term faces significant challenges, according to Housing Secretary Angela Rayner. Speaking recently, Rayner acknowledged that the target remains a high bar amid rising construction costs and broader economic pressures, but she affirmed her commitment to pursuing the goal.

Rayner characterized the objective as a "really difficult stretched target," likening it to an ambitious marathon she is determined to complete despite obstacles. While recognising that housing completions have declined, she insisted she would not abandon the plan. "If you tell me I can’t do something, I’ll go hell-bent to get it done," she said during a radio interview.

Statistics indicate a slowdown in new homebuilding across England. In the past year, 143,110 homes were completed, marking the lowest annual figure since 2015-16 and a decrease from the 152,040 homes built the previous year. Over the first two years of the current parliament, approximately 295,000 homes were built, falling short of the roughly 300,000 annual rate needed to meet the 1.5 million target.

The Home Builders Federation has highlighted the financial pressures facing developers, noting that the average cost to build a home has risen by about £76,000 since 2020. Rayner pointed to these increased construction costs as a key factor complicating the delivery of new housing.

Despite these difficulties, Rayner made clear that the government under new Prime Minister Andy Burnham does not plan to implement rent controls or freezing measures previously associated with Labour policies. This stance contrasts with some earlier proposals from Burnham’s campaign.

Critics from the opposition have argued that Labour’s broader policies, including taxation and regulatory approaches, have dampened incentives for homebuilding. Conservative MP Gareth Bacon suggested that increased red tape and taxes have made the sector less attractive to developers, contributing to the slowdown.

Labour officials maintain that while the housing target is ambitious, it remains an essential part of their agenda to address the country’s housing shortage. The government is expected to continue efforts to stimulate construction and explore ways to overcome cost and supply chain constraints amid a challenging economic environment.

This article was reported by synthesizing coverage from multiple independent news outlets to present a balanced, unbiased account. Read about our editorial standards. Spotted an error? Let us know.