A Radical Solution to the U.K. Housing Crisis: Building a New London in the Thames Estuary

How should the U.K.’s government be addressing the housing crisis? Here are four steps to a radical solution.

People riding bikes on a sidewalk.
Vision for a New London. Image courtesy of Gensler.

Editor’s note: This blog post is part of a series introducing several design-driven solutions to address the U.K. housing crisis. Read part 1 here and part 2 here.

How should the U.K.’s government be addressing the housing crisis and the current backlog of 4.3 million homes? Unsurprisingly, the housing crisis was the top of the agenda in the government’s first days in office with a number of announcements aimed at solving this challenge. It was exciting to see the government recognise that reform of the planning system is now critical.

However, history tells us that planning reform is not a quick fix. If the government is genuine about their intentions to solve the crisis, they will need to rethink their current proposals and consider more radical solutions given the urgency of the situation. A new approach to planning and development needs to be adopted.

While I welcome the enthusiasm with which the government continues to focus on housing, the 1.5 million homes suggested for construction is a long way off from the estimated shortage of 4.3 million homes. The government has proposed building 1.5 million homes over the course of this parliament or in the next five years. At that rate, it would take over 15 years just to deliver housing to cater to the backlog, never mind the additional growth anticipated during that time.

The quickest way to accelerate housing provision is the tried and tested Urban Development Corporation model, a framework used to promote urban regeneration and development, typically in economically disadvantaged or underdeveloped areas. This approach unlocks strategic land, streamlines planning processes, and attracts private investment, enabling the rapid delivery of high-quality, sustainable housing where it is needed most.

The starting point is to work out where in the U.K. we can find the 800 square miles of development land that is going to be required for the current backlog.

The epicentre of the housing crisis is London, and the U.K. capital is directly exacerbating this issue across the greater southeast region. To solve the crisis, the starting point must be to solve London’s problem. Yes, densification will help to reduce the land take. What remains problematic is land supply; we are running out of available land for residential development, and this in turn inflates the cost and slows down supply.

Here are four steps to a radical solution that the U.K. government should consider to address the housing crisis:

Step 1: Extending London Along the Thames Estuary to Create ‘New London’

The current population of London is estimated to be 9.7 million people within a 600 square mile city. If we added an additional 4.8 million people, this would accommodate just over 50% of the current national backlog, although it would also require the extension of the functional boundaries of London by approximately 300 square miles. If we were to extend London eastwards along the Thames Estuary, this population could be accommodated in a new city — ‘New London.’

Step 2: Reclaiming Land and Relocating Large-Scale Infrastructure

In addition to the existing land incorporated into New London, further additional land could be reclaimed from the shallower parts of the Estuary — set at a distance from the more sensitive shoreline and marshland areas, which are particularly important bird and nesting grounds. As a result, land-hungry uses such as airports, ports, and energy infrastructure could be moved out of the centre of the city and onto a series of purpose-built islands in the Thames Estuary. This would free up extensive areas of land within the existing city to be repurposed as new communities. Simply moving Heathrow to the estuary would free up enough land to create an entirely new London borough of 200,000 people.

A group of people sitting on a bench by a river.

Step 3: Establishing an Urban Development Corporation

New London would be planned and developed by a specially established Urban Development Corporation with the powers and enabling finance to deliver upon this vision. Private sector partners would be used to develop entire districts, neighbourhoods, and island communities. Like the successful New Towns of the 1960s, New London would be an employment-led initiative. The Urban Development Corporation would combine the special powers often given to Special Economic Zones and Free Ports as the growth develops eastwards.

Step 4: Creating Europe’s First Mega-City

With a combined population of 14.5 million, Old and New London would reassert London as the largest city in Europe and would become the engine room for the regrowth of the U.K. economy. The new city could embrace waterside living on a scale never undertaken before. Car-free communities interspersed with urban agricultural systems and the very latest urban transportation systems could enable the U.K. to demonstrate its leadership once again in the design of the next generation city. A new super-port could be created, which would combine a new London airport, new port of London, new energy production, and a new waterside residential community.

Although this only provides for half of the current national backlog, it would be a major short-cut to finding a long-term, sustainable solution to the U.K. housing crisis.

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Ian Mulcahey
Ian is a global leader of Gensler’s Cities & Urban Design practice. He oversees projects across the U.K., Europe, and the Middle East and brings a deep understanding of the various political, commercial, and social drivers that influence planning delivery. He is based in London. Contact him at .