Social Housing Shortage in London: What’s Really Happening

When you hear social housing shortage, the gap between the number of homes the government provides for low-income families and the actual demand for those homes. Also known as council housing crisis, it’s not just about empty buildings—it’s about people sleeping in cars, staying with relatives for years, or being forced to move hundreds of miles away just to find a roof. This isn’t a future problem. Right now, over 120,000 households in London are on the waiting list for social housing. Some wait more than five years. Others never get a call.

The affordable housing London, housing priced so that low- and middle-income families can pay rent without spending more than 30% of their income. Also known as social rent, it’s become a myth in many parts of the city. New builds? Too few. Private rent? Too high. The average rent for a one-bedroom flat in outer London now costs more than £1,800 a month. A full-time worker on minimum wage would need to spend over 70% of their income just on rent. That’s not affordability. That’s a trap.

The housing inequality, the growing gap between who owns property and who can’t even get a secure place to live. Also known as wealth divide in housing, it’s deepening fast. While some neighborhoods see luxury flats go up overnight, others are left with crumbling tower blocks and broken lifts. The same city. Two worlds. And it’s not just about money—it’s about dignity. A single parent working two jobs shouldn’t have to choose between food and rent. A disabled person shouldn’t be stuck in temporary accommodation for years because there’s no accessible home available.

What’s worse? The system doesn’t even track the full picture. Many families are hidden—living in hostels, sofa-surfing, or in unsafe private rentals because they’re too scared to apply for council housing. The official numbers are bad. The real ones? Likely worse.

And yet, the solutions aren’t mysterious. Build more. Protect existing stock. Stop selling off council homes. End the right-to-buy policy that drained public housing for decades. Reinvest in maintenance, not demolition. But politics keeps getting in the way. Land prices rise. Developers push for profit over people. And the people who need homes the most? They’re told to wait.

Below, you’ll find real stories from Londoners caught in this crisis—along with the latest data on waiting lists, policy changes, and what’s actually being done on the ground. No fluff. No spin. Just what’s happening, who it’s hurting, and why it’s getting harder every year.