North East leaders have warned that the region must rapidly accelerate housebuilding after figures revealed 43,000 households are either homeless or living in unsuitable accommodation. A plan approved on Tuesday aims to deliver 15,000 social and affordable homes over the next decade across Northumberland, Tyne and Wear, and County Durham.
£143 million investment to unlock stalled sites
The plan includes £143 million secured from the National Housing Delivery Fund to unlock 4,600 new homes by 2030 by providing targeted financial support to problem development sites where building has been blocked due to viability challenges, land remediation costs, or a lack of necessary infrastructure.
A study presented to the North East mayoral authority cabinet reveals 42,961 households across the region are living in unsuitable housing, more than 16,000 of which suffer from overcrowding. Around 4,300 are homeless or living in concealed arrangements, such as staying with friends or family. Demand for homelessness services has increased by 27% over the last five years, with more than one-third of affected households including children.
Mayor calls for faster housebuilding and more powers
The mayor’s office warned that housing levels need to grow at a rate 40% higher than recent delivery levels, with particular concern over the shortage of affordable one-bedroom properties and pressures on rural communities from limited supply and second home ownership. An assessment by Iceni Projects also highlights a clear need to increase the supply of accessible, adaptable dwellings and wheelchair-user dwellings, as well as specific provision for older persons' housing.
Presenting her plans at a cabinet meeting at Durham’s Riverside cricket ground in Chester-le-Street, North East mayor Kim McGuinness said leaders had to be honest about the housing crisis that sees around 50,000 people on the region’s social housing waiting lists. She added: “Families are stuck on waiting lists, young people are priced out of the places they grew up in, and too many households are spending more and more of their income simply keeping a roof over their heads.”
The mayoral authority confirmed no specific sites had yet been confirmed for the 4,600-home target by 2030. Ms McGuinness has also called for the Government to hand mayors greater powers and funding to deliver a large-scale programme of retrofitting works to cut energy bills in properties needing modernisation.
Gateshead Council’s Reform leader Nick Allan told the cabinet meeting: “At a time when the North East faces a significant housing challenge, too many people are struggling to access good quality and affordable homes. Too many sites that could provide those homes are stalled by viability and infrastructure barriers. If we are serious about growing our economy, reducing inequality, and creating thriving communities we must increase the pace and scale of housing delivery.”



