What is the aim of the Social and Affordable Homes Programme?
SAHP prioritises Social Rent, with at least 60% of homes expected to be delivered in this tenure. It will support a broad range of provision, including new build affordable rented homes, shared ownership, supported and specialist accommodation, rural and community led housing, estate regeneration (where there is a net gain of affordable homes), bringing empty homes back into use and traveller pitches. Funding cannot be used for homes delivered through Section 106 obligations or for Specialised Supported Housing or Temporary Social Housing.
Proposals to deliver replacement social and affordable homes will need to start by 31 March 2036 and the conversion of homes needs to be complete by 31 March 2039. The programme is designed to give developers, registered providers (RPs), councils and community led bodies a stable 10 year funding environment to plan and deliver affordable housing at scale.
Who can bid for funding?
Homes England welcomes bids from:
You can bid for funding as an individual organisation or as part of a consortium or Strategic Partnership. Developers who are not RPs can still participate, but where the delivery includes rented homes, ownership must transfer to a Registered Provider at completion. All partners delivering rented homes must be registered with the Regulator of Social Housing and members of the Housing Ombudsman Service.
How can developers bid for funding?
There are two funding routes for developers:
1. Continuous Market Engagement (CME) Route
This is the most flexible route and is open on a rolling basis:
2. Strategic Partnership (SP) Route
This route is designed for larger developers, Registered Providers or consortia able to commit to multi‑year delivery programmes:
What do developers need to demonstrate in their bids?
All bids will be assessed against the following criteria:
|
|
CME Route SP Route |
|
|
Strategic Fit |
Contribution to national (e.g., Social Rent, specialist housing) and regional (e.g. EMSA) priorities where relevant; |
|
|
Value for Money |
Assessed against grant per home benchmarked against national area and scheme type averages to ensure bids are competitive. |
Assessed against BCR using the MHCLG Appraisal Guide. This takes into account land value uplift, tenure, speed of delivery and level of grant requested. |
|
Deliverability |
This will take into account: relevant track record; planning status; capacity and local relationships; proportion of bid relying on other delivery partners; proposed spend and delivery profile. |
This will take into account the following factors: planning status, land ownership, progress on contracting and past performance. |
|
Quality and design |
Compliance with Homes England design standards, Building regulations and ESG considerations. |
|
What is the timeline and what happens next?
Bidders will need to follow the application process summarised below:
Step 1: Review Programme Guidance
Applicants must follow SAHP rules in the Capital Funding Guide, including criteria for eligible costs, grant conditions, tenure standards and monitoring.
Step 2: Prepare Bid Documentation
This will need to respond to the criteria outlined above.
Step 3: Submit via Homes England's Investment Management System (IMS)
Step 4: Post‑submission engagement
Homes England may request clarifications or adjustments before issuing a Grant Funding Agreement.
Step 5: Grant Agreement and Monitoring
Applicants must sign a Grant Agreement and commit to Homes England’s monitoring and audit processes.
GC Insight has a successful track record in supporting both the public and private sector in securing funding and driving forward housing delivery. We can help throughout the bid process, either leading on the bid or supporting individual elements of this process. This could include carrying out a value for money assessment to arrive at a benefit cost ratio, a key requirement of the strategic partnership route. For further information, please contact Margaret Collins or Daniel Lindsay.
