House of Lords warns UK new towns programme faces delivery risks

A House of Lords report has warned that the UK government’s new towns programme is at risk due to a lack of progress and uncertainty in the supply chain. The Built Environment Select Committee stated that the failure to begin construction on any new towns despite pledges to build seven by the end of this Parliament could lead to a “doom loop” of declining investment and missed economic opportunities.

To safeguard the programme, the committee urged ministers to provide greater certainty by adding new towns to the National Infrastructure and Service Transformation Authority (NISTA) 10-year pipeline. This would allow for accurate demand forecasting, enabling manufacturers to invest in the production of building materials and making domestic supply chains more resilient to global volatility.

The report highlighted that delays are being driven by funding questions and a significant shortage of construction skills. The committee set a target for the government to start construction on at least one standalone new town by 2029 to avoid failing the next generation and to help address the shortage of social housing and homes for first-time buyers.