Categories: Housing and Urban Development

Labour plans 12 new towns to tackle England housing crisis

Labour plans 12 new towns to tackle England housing crisis

Labour is poised to reveal a sweeping plan to build 12 new towns across England, a flagship response to the country’s housing crisis. The announcement, set to be delivered by Housing Secretary Steve Reed at Labour’s annual conference in Liverpool, is framed as national renewal in action by party leader Keir Starmer. The move follows a formal assessment by the new towns taskforce, which issued a report with recommendations for scaled development nationwide.

What the plan entails

The initiative draws on the postwar housing boom overseen by Clement Attlee’s government, which delivered more than a million homes between 1945 and 1951. Labour argues that a similar, state-enabled push can accelerate construction in the modern era. The scheme would rely on a mix of public and private funding, with the total cost yet to be finalised. Officials estimate that the 12 towns could collectively deliver up to 300,000 homes over the coming decades, reshaping regions and creating new, self-contained communities with core amenities.

Delivery and affordability targets

Each new town is planned to include at least 10,000 homes, alongside GP surgeries, schools, green spaces and robust transport links. The taskforce is understood to propose a housing mix where roughly 40% of dwellings would be affordable, with about 20% earmarked for social housing. The aim is to balance market needs with genuine affordability, ensuring that families, key workers and others priced out of the market can access secure homes in sustainable settings.

Locations under consideration

Several sites are flagged for potential development, though final decisions have not yet been made. Among the locations under discussion are Tempsford in Bedfordshire, Crews Hill in north London, and Leeds South Bank. Officials emphasise that the list is provisional and will be refined through consultation with local authorities, communities and developers as the taskforce publishes its formal recommendations.

Why now and what it means for housing policy

The plan comes as Britain faces a stark housing shortage — academics place the gap at around 4.3 million homes, with record numbers of people in temporary accommodation. Labour has pledged to build 1.5 million new properties before the next general election, though analysts question whether that target is achievable within political and economic constraints. The party argues that only a large-scale, coordinated effort—combining public backing, land use reform and private investment—can deliver durable, long-term housing security rather than short-term fixes.

Historical framing and political context

Reed frames the proposal as a continuation of Labour’s postwar renewal project. He has asserted that the new towns should be built with the same ambition and scale that once created communities with homes fit for families of all shapes and sizes. The rhetoric centers on mobilising the full power of the state to “build, baby, build,” with an emphasis on creating not just houses, but thriving towns with schools, healthcare and transit that enable lasting home ownership dreams.

What observers are saying

Analysts note that while the ambition is high, the plan faces practical hurdles, including securing financing across public and private sectors and navigating local planning processes. Critics may question cost, timelines and the risk of long lead times. Proponents, however, argue that a deliberate, centrally coordinated approach could unlock land and infrastructure in ways the market alone has not managed, delivering housing and economic regeneration in tandem.

Next steps

The new towns taskforce is expected to publish its formal recommendations shortly, with the Labour government set to refine site selections and financing models before proceeding to detailed planning. If realised, the 12 towns would mark a bold shift in housing policy, aiming to deliver hundreds of thousands of homes and to redefine how communities are planned and funded in England for decades to come.