The homes will be funded by £1 billion of public money which was allocated to London in the summer spending review.
"For over 30 years, regardless of boom and bust, governments of every hue have failed to build enough homes," said London Mayor Boris Johnson. "With London’s unprecedented population growth, housing supply and affordability is now our biggest challenge and we need to double the number of homes being built."
The Strategy sets out how new forms of investment will be explored. This includes support for long-term investors in purpose built private rented and shared ownership homes. The Strategy also explores the concept of a London Housing Bank to assist housing supply on large scale developments. The Mayor also makes the case of a new financial settlement for London, one that includes greater autonomy to raise and retain its own stamp duty tax.
The Strategy acknowledges the importance of housing to the economy and the need for greater investment in low cost housing, not just social rented affordable housing. In the 2015/18 affordable homes programme: 40% of housing will be for low cost home ownership, and 60% will be for affordable rent with half capped at affordable rents and half at discounted rents.
With regard to land, there is a strong focus in the Strategy on promoting the 33 Opportunity Areas, as set out in the London Plan. The Greater London Authority will seek to designate new Housing Zones within them which will have targeted tax incentives and lighter touch planning. The Strategy also promotes garden suburbs on publicly owned land and suggests a new garden suburb will be delivered at Barking Riverside which will create a new community larger than Windsor.
The Strategy states that all new homes should continue to be built to the current high design standards set out in national planning guidance.
The Consultation is open until 17 February 2014.
