Regenerating council estates to boost social housing provision must be a “core” part of efforts to tackle London’s housing crisis, boroughs have declared.

A Decade of Renewal: the Contribution of London Estate Regeneration – a new report from London Councils and the London Housing Director’s Group – argues that regenerating estates can increase the supply of much-needed housing and modernise existing homes.

London Councils’ Executive Member for Housing &
Regeneration, Cllr Grace Williams, said: “Building new council housing and improving the quality of existing homes are top priorities for London boroughs.

“As this report shows, regenerating council estates in the capital offers exciting opportunities to deliver new social housing fit for the 21st century. London is grappling with enormous housing challenges, and estate regeneration should be a core part of our approach to tackling the crisis.

“However, the continuing squeeze on our resources holds us back. We urgently need more funding firepower if we are to unlock stalled sites and ramp up regeneration. The coming Budget and government decision on social rent convergence will be pivotal for making this happen.”

London Councils has welcomed comments from the Communities Secretary in which he expressed support for devolving more financial powers over revenue raising to local authorities.

Speaking at the Housing, Communities and Local Government Committee last week, Secretary of State for Local Government Steve Reed MP said he has “always been an advocate of devolution”, including “fiscal devolution”, and that ahead of the upcoming Budget he has made the case to the Treasury for devolving powers to councils.

Chair of London Councils, Cllr Claire Holland, said: “Everyone knows the local government finance system is broken. Boroughs are almost entirely reliant on council tax and central government funding streams, with very limited ability to shape our own financial destiny.

“Boroughs need far more financial autonomy, in line with the powers and resources available to local government in other countries. An overnight accommodation levy – jointly administered by boroughs and the Mayor – would be one example of this. This could help provide boroughs with resources they need to ensure local services are equipped to manage the impacts of tourism and invest in growth.

“The upcoming Budget is an opportunity for action. Empowering councils with new financial powers is crucial for addressing the current funding crisis and for enabling us to invest locally in growth-boosting measures.”

London Councils is calling on e-bike operators to honour procurement agreements with boroughs across the capital, following growing concerns that some companies are continuing to operate with impunity in areas where they do not hold a contract.

In boroughs with an existing agreement, operators are contractually required to ensure that e-bikes are parked in designated bays and not abandoned. If bikes are abandoned, operators must collect and return them to the appropriate locations.

However, some operators have extended their services into boroughs without contracts, failing to meet agreed standards of fleet management.

London Councils’ Executive Member for Transport and Environment, Mayor Brenda Dacres OBE, said: “Londoners rightly expect e-bikes to be safe, well-managed, and available on fair terms wherever they live. Boroughs are committed to supporting active travel, but that must go hand in hand with accountability and respect for local agreements.

“These contracts exist to protect residents and public space, while ensuring riders get a reliable, affordable service. We want operators to be partners in building a sustainable, safe network for e-bikes in London, and we will continue our hard work in ensuring residents and riders are at the heart of this.”

Responding to research on fast-rising levels of special educational needs and disability (SEND), London Councils has warned of “enormous challenges” threatening to “break boroughs’ budgets”.

A recent report commissioned by the County Councils Network reveals the number of children and young people in England with Education, Health and Care Plans (EHCPs) reached an all-time high of 638,000 this year. The analysis shows a 134% increase in the number of 0-25 year-olds in London with an EHCP between 2014/15 and 2024/25.

London Councils’ Executive Member for Children and Young People, Cllr Ian Edwards, said:  “These figures are deeply alarming and will pose enormous challenges to boroughs across the capital.

“We are committed to providing high-quality support for all young Londoners with SEND, but the system was not designed to cope with such a dramatic rise in demand.

“Government funding has failed to keep pace, leaving boroughs with huge deficits threatening to break our budgets.

“We are calling for funding that reduces these deficits and reflects London’s fast-growing SEND numbers, enabling us to meet the needs of all children and young people in the capital.”