Overview of the Working Paper
This working paper, titled “Bringing real localism into practice through co‑operative housing governance: The role and prospects for community‑led housing in England,” is a policy brief published by the London School of Economics (LSE) and authored by Dr Richard Lang of the Housing and Communities Research Group. It was produced under the William Plowden Fellowship in May 2015 and reflects research conducted by the Institute for Innovation Management, Johannes Kepler University Linz, with supervision from Professor David Mullins. The brief presents a detailed analysis of community‑led and co‑operative housing models in England, examining their relevance to the Localism Act and the broader “Big Society” agenda.
Key Findings on Localism and Housing
The study finds that recent localism reforms have yielded modest funding for community‑led schemes, such as the Empty Homes Community Grants Programme, but have not delivered large‑scale reforms of social housing. The authors identify four research objectives: assessing the relevance of localism, mapping the sector’s structure, testing a framework for analysing localism practice, and exploring international models, notably Austria’s co‑operative housing system. The brief highlights a 30 % energy‑efficiency target and a 15 % annual increase in retrofitting activity within the sector.
Structure of Community‑Led Housing
Community‑led housing in England comprises several sub‑fields: housing co‑operatives, community land trusts (CLTs), self‑help housing, self‑build, co‑housing, tenant‑management organisations, and public‑housing models. Co‑operatives account for less than 1 % of UK housing stock, with roughly 250 organisations and about 50 % member participation in meetings. CLTs number around 160 in the UK, with about 300 homes built or in planning, typically small‑scale projects (average ten units). Self‑help schemes involve approximately 120 projects, often revitalising empty properties through the Empty Homes Community Grants Programme.
Support Mechanisms and Partnerships
The paper stresses the critical role of sector umbrella bodies—such as the Mutual Housing Group, the Confederation of Co‑operative Housing, and Self‑Help‑Housing.org—in providing technical expertise, funding pathways and policy advocacy. Partnerships with housing associations (HAs) and local authorities are identified as “bottom‑linked” approaches that can supply land, finance and professional services, though tensions may arise over governance autonomy. Public promotion, exemplified by Austria’s Vienna model, is presented as a successful mechanism for scaling co‑operative housing through state‑supported subsidies and developer competitions.
International Lessons from Austria
Austria’s Vienna region demonstrates how institutionalised public promotion (Wohnungsgemeinnützigkeit) enables co‑operative housing to secure up to 95 % of development costs from the state, fostering socially mixed neighbourhoods and high environmental standards. Developer competitions in Vienna evaluate projects on architectural quality, economic viability, ecological performance and social sustainability, encouraging innovative, community‑oriented designs. The authors argue that similar mechanisms could strengthen England’s community‑led sector and align it with European sustainability goals.
Data and Impact Metrics
- Energy‑cut target: 30 % reduction in housing sector emissions.
- Retrofitting ambition: 15 % annual increase in upgrades.
- Funding: Approximately £50 million allocated to the Empty Homes Community Grants Programme, supporting 110 groups.
- Sector size: < 1 % of UK housing stock (co‑operatives), ~250 co‑operatives, ~160 CLTs, ~120 self‑help projects.
- Participation rates: Around 50 % attendance at co‑operative meetings; high engagement in CLT steering groups (≈ 50 participants in village meetings).
Conclusions for Sustainable Housing Policy
The brief concludes that while England’s community‑led housing sector remains small, it possesses significant potential to contribute to sustainable, locally‑driven housing solutions. Realising this potential requires: (1) stronger public promotion and dedicated funding streams; (2) clearer definition of target groups and estate boundaries; (3) enhanced partnerships that respect co‑operative governance principles; and (4) adoption of international best practices, particularly the Austrian model of state‑supported co‑operative development and socially‑oriented developer competitions.