Politics
Westminster Council Raises Affordable Housing Quota to 40 Per Cent, Matching Targets in Several Other London Boroughs
New planning rules mean developments with 10 or more homes in Westminster must include at least 40 per cent affordable units, directly shaping the mix of market-rate and subsidised homes available to local households.
How we reported this
Westminster City Council approved an update to its affordable housing policy on 8 July 2026, lifting the required share of affordable units in major residential schemes from 35 per cent to 40 per cent. The change applies to all planning applications lodged on or after 1 August and covers both private and mixed-tenure projects across the borough.
The revision follows the council's statutory review of its Local Plan, required every five years under the Planning and Compulsory Purchase Act 2004, and aligns Westminster with the 40 per cent benchmark already set by boroughs including Tower Hamlets and Lambeth.
Daily consequences for residents and workers
Households on moderate incomes in areas such as Pimlico and the West End now face a larger pipeline of shared-ownership and social-rent homes within new blocks. A family renting privately near Victoria station, for example, could apply for one of the additional units expected in schemes of 50 homes or more, where the council previously accepted cash contributions in lieu of on-site provision.
Local businesses that rely on staff living nearby may also see indirect effects. With more units ring-fenced for key workers, recruitment pools for hospitals and hotels in the borough could stabilise, according to figures in the council's 2025-26 housing revenue account.
The policy document records that Westminster delivered 1,150 affordable homes between 2021 and 2025 under the prior 35 per cent rule. Neighbouring Camden achieved 1,480 units over the same period with its 50 per cent requirement, while the City of London recorded 420 units at its 30 per cent level.
Council officers will publish the first monitoring report on the revised quota in January 2027, after which the authority will decide whether to adjust the threshold or introduce site-specific exemptions for small sites.