Affordable Homes Programme: What You Need to Know
Affordable housing funding helps housing providers, developers and councils deliver safe, affordable places to live. But applying for the right grants, at the right time, with a strong enough case can be a real challenge. Thornton & Lowe’s experienced team works closely with you to make sense of the funding landscape and improve your chances of success.
The Affordable Homes Programme 2021–2026 offers £8.03 billion in capital grants to help deliver at least 100,000 new homes across England. Grants are accessed through the Continuous Market Engagement (CME) route, open to both existing and new partners. Strategic Partnerships are now closed to new applicants.
Funding is available for:
- Social Rent: calculated using a government formula and lower than Affordable Rent
- Affordable Rent: up to 80% of market rent
- Shared Ownership: part-rent, part-buy
- Older Persons Shared Ownership, HOLD and Rent to Buy
- Supported and specialist housing
- Homes in rural communities and traveller pitches
If you’re thinking of applying, timing and preparation matter. You’ll need:
- A viable site with deliverability demonstrated, ideally with planning in place
- A clear rationale for the type and tenure of housing proposed
- Evidence of demand, either through housing needs data or local authority support
- Strong alignment with Homes England’s wider priorities, such as energy efficiency or use of modern methods of construction
Grants are not guaranteed. Your proposal will be assessed against other bids on cost per unit, deliverability, and local housing need. If your organisation isn’t yet a Registered Provider, we can help guide you through that process or help structure a partnership to deliver your scheme compliantly.
It’s also important to understand how the grant is paid. For registered providers, it’s typically staged - 40% at land acquisition, 35% at start on site, and 25% at practical completion. For others, it’s usually 100% at completion, unless securities are agreed. This affects how you finance the project in the short term, and we support clients to model the funding accordingly.
The new Social and Affordable Homes Programme (SAHP)
The government has recently announced £39bn for the new Social and Affordable Housing Programme which will replace the curent Affordable Homes Programme and is expected to run from 2026-2036. At least 60% of homes delivered through the programme are expected to be for social rent, with the remaining 40% for affordable rent, intermediate rent and shared ownership. A full prospectus is expected in autumn 2025 and it will open for bids for both Strategic Partners and Continuous Market Engagement in the winter.
How Thornton & Lowe Supports You
Our housing consultancy division are experienced in social housing and accessing government funding. We work across the UK with housing associations, developers, local authorities and community-led projects and can support funding bids, housing strategy and delivery.
Our Head of Housing has worked across the sector and her experience includes:
- Leading successful bids to Homes England
- Managing Section 106 schemes and land-led delivery
- Mobilising Help to Buy contracts and overseeing commuted sums
- Presenting strategic development reports at board level
We bring that experience to every client. Recent partners include Bournville Village Trust, Care HA, Gentoo, Incommunities, Longhurst Group, Rochdale Boroughwide Housing, South Lakes Housing and Thenue Housing.
Our services include:
- Bid writing and submission support for the Affordable Homes Programme
- Grant application and contract management
- Site feasibility, viability and planning guidance
- Support with becoming a Registered Provider
- Procurement and supply chain strategy
- Service charge reviews, DLO options and estate services support
We also help clients design local frameworks, respond to short-term grant opportunities and structure partnerships that improve delivery. We understand how Homes England works and how to shape funding bids that stand up to scrutiny.
We’re not just here to write your bid - we help challenge assumptions, stress test the numbers, and work with your teams to give your submission the best chance of success.
Speak to Our Team
Whether you need support applying for funding or want advice on your housing strategy, we’re here to help. Our team offers hands-on, practical consultancy that’s focused on real outcomes.
Visit our social housing consultancy services page or get in touch to talk through your project.
