Plaid Cymru's 100 days in government: What does it mean for housing?
Alex Myles, External Affairs Assistant, Community Housing Cymru
We knew that Plaid Cymru was a party in a hurry. Leader Rhun ap Iorwerth set out his stall early, publishing a First 100 Days plan even before election day - which ultimately returned him as First Minister and his party as a minority government in Wales.
As new cabinet ministers and MSs were still finding their feet in the summer term, significant announcements were made on the government’s priorities, namely childcare, the NHS and cost of living.
Housing priorities
Speaking at CHC’s One Big conference in June, the new housing cabinet minister, Sian Gwenllian MS, spoke of her vision for Unnos - a “new national development body and social housing enabler” working to “remove the barriers that too often slow social housing delivery.” She also spoke to the Right to Adequate Housing, seeking to embed this right - granting citizens with secure tenure which is culturally appropriate and accessible to public services - into law, “sending a clear signal that in Wales, housing is not a commodity. It is a right.”
Since that conference speech, First Minister Rhun ap Iorwerth committed to a bill aimed at strengthening the rights of people living in privately rented homes and further measures to improve housing affordability, make rents fairer and restrict no-fault evictions by private landlords.
We have also seen a target announcement for social housing - a commitment to deliver 20,000 social homes purely for social and intermediate rent. This also includes acquisitions, so homes which housing associations acquire from the private market will be included.
As we come to the end of the 100 day period, the ambition from the new government is clear to see. But, as ever with radical programmes of government, the delivery is less certain. This is compounded by the plain fact of numbers in the Senedd and growing pressure on the Welsh Government budget.
Supplementary budget
Government ministers trailed a series of spending announcements from its supplementary budget - including an in-year investment of £20m in social housing through the Transitional Accommodation Capital Programme. This was a really positive sign of the prioritisation of social housing for the new Government.
Ultimately, however, the draft budget was not passed. Finance Cabinet Minister Elin Jones will have to re-present the plans to the Senedd in the autumn, alongside its crucial annual budget for the next financial year. The minister will have to make deals for the final budget to pass in the winter, and find common ground with other political parties.
Like the budget centrepiece, the bills included in the FM’s legislative priorities will need cross-party consensus to get on the statute book. It gives opposition parties, and the recently established Senedd committees, a real chance to shape legislation to a level not seen previously.
We and our partners will therefore have an important role to play in advocating and informing the shape of legislation, policy and funding. While an expanded Senedd provides multiple opportunities to build relationships across the political spectrum, the finances limit what can really be done. This government has inherited a particularly tough fiscal outlook where overall capital funding, in real terms, is set to fall from 2027-28 onwards as per the Institute of Fiscal Studies.
The allocation of £20m for TACP in the supplementary budget was a welcome indication that this Plaid Cymru government acknowledges, and seeks to actively tackle, the housing crisis. But its manifesto is not short of promises on the spending front. There’s pledges on rail infrastructure, options to remove congestion on the M4, broadband connectivity and upgrades to school and NHS estates - all inherently costly.
Herein lies the fundamental challenge of governing; priorities.
Housing in the round
CHC is clear that housing is not in competition with health or the economy, it underpins them. While the preventative health benefits of a warm, damp free home is well understood, our research has found that the lack of suitable housing is becoming a more significant factor in delayed hospital discharge. Housing-related delays are costing the NHS £2.49 million every year, money which could deliver a thousand desperately needed adaptations to homes or fund the rent of over 400 social homes.
At the same time, CHC commissioned Savills to model the economic impact of 20,000 homes built by housing associations over a four year period. The results are profound. In each year of delivery, housing associations would create 14,200 additional jobs. That’s around 6,000 people working in construction and 8,000 in the supply chain. 2,000 apprenticeships would be created alongside 1,200 work placements.
This impact complements the substantial social value housing associations provide for residents and communities, with frontline teams going above and beyond in helping tenants navigate the cost of living crisis through dedicated money advice teams, hardship funds and vouchers and affordable meal kits.
Everybody deserves a home to call their own. Despite a challenging budget and voting numbers in the chamber, the reality remains the same. Temporary accommodation figures are stubborn. The private market is out of reach for many. Energy bills are exorbitant.
What’s next
Managing a tight budget with no majority in parliament is a serious challenge. But there are areas with common ground. Increasing the supply of desperately needed social housing has consensus across the debating floor and is the most popular solution to ending homelessness amongst the voting public. If this government wants to make prevention a priority, a long term plan for housing would be a key enabler.
To help us make a compelling case for long term investment in housing, we need your help. Surveys around cumulative and cost of living pressures are currently with your teams for completion, as well as a survey on the challenges facing your support teams - with revenue funding looking to be particularly challenging this budget round.
And to support your own influencing work, we have a range of resources soon to be available on a new public affairs section of our Housing Hub. This includes information on key MSs, a map of new constituencies and housing association operating areas, and a messaging framework to encourage us to speak as a powerful united voice.
Plaid Cymru has a chance to make affordable home delivery its hallmark of governing. Your organisations stand ready to deliver lasting change but the right conditions must be in place. Let’s put homes at the heart of Wales’ future.