Tower Hamlets launches one of the most ambitious affordable housing programmes in the country

Chris Braithwaite House for web

A home-building programme to fast-track up to 3,332 new homes across 37 Council-owned sites in Tower Hamlets has been approved. 

The Mayor’s Accelerated Housing Programme (MAHP) will be delivered over the next five years with a focus on affordable and larger family homes. 

This is in addition to the existing commitment to deliver 4,000 genuinely affordable homes by May 2026, with the Council on track to exceed this target. 

Today’s announcement, combined with the new affordable homes already being delivered, represents one of the most ambitious affordable housing programmes in the country. 

This is in addition to the upcoming ambitious new local plan, which will enable thousands more homes to be built by developers and housing associations. 

The need for new homes in Tower Hamlets has never been more critical. As of July 2025: 

  • 28,852 households are on the housing waiting list, 
  • 13,209 households live in overcrowded conditions, with 2,668 severely overcrowded, 
  • 3,220 households are living in temporary accommodation, 
  • 602 households require rehousing due to medical needs. 

This is set against the backdrop of a rapidly growing population. According to the Office for National Statistics (ONS), Tower Hamlets is the fastest growing local authority in the UK. The borough’s population is projected to rise from 323,854 in 2022 to 389,845 by 2032. 

Lutfur Rahman, Executive Mayor of Tower Hamlets, said: 

“This programme is not just about numbers, it's about transforming people’s lives. Inadequate housing blights lives – affecting everything from health and education to employment and life expectancy. We are already on track to exceed the target I set of 4,000 affordable new homes and now the Mayor’s Affordable Homes Programme marks our boldest step yet to meet housing needs in our community and build a fairer future for our residents. 

“I’m proud that we are launching one of the most ambitious affordable housing programmes in the country. While other councils struggle to build, Tower Hamlets is leading the way — delivering safe, sustainable, high-quality council homes that meet the needs of our residents, particularly by providing large, family-sized and accessible homes.  

“Tower Hamlets has an urgent need for affordable housing, with too many families living in overcrowded or unsuitable conditions. We are committed to keeping people in our communities, in secure homes they can afford, and providing future generations with comfortable, decent housing for many years to come.” 

At Cabinet on Wednesday (23 July), the Council agreed a budget of £8 million to fund the progression of the MAHPs development to the next stage, which includes securing planning consent for most of the sites and formal pre-application submissions for the remainder. 

The MAHP complements housing already being delivered through the Council’s Capital Programme, development partnerships, and Section 106 agreements. 

The Council is also positioning itself to take full advantage of the Government’s £38 billion investment in affordable housing and other initiatives announced in the June 2025 Comprehensive Spending Review. 

The next phase of the MAHP will see the development of a full business plan and the formation of delivery partnerships with the Greater London Authority (GLA), Homes England, institutional investors, and third-party developers – all aimed at delivering homes at pace and maximising affordability. 

Posted on Friday 25th July 2025