On day two of MIPIM 2026, BusinessLDN convened senior figures from across the housing and development sector for our annual Housing Lunch, kindly sponsored by Arcadis and Ballymore. Chaired by John Dickie, Chief Executive of BusinessLDN, the discussion offered a frank assessment of the barriers to housing delivery in London and what is needed to unlock progress.
Opening the conversation, Tom Copley, Deputy Mayor for Housing and Residential Development at the Greater London Authority, set out the scale of the challenge – and the limits of City Hall’s current powers. While the GLA has introduced a range of supply-side interventions and emergency measures to improve scheme viability, Tom was clear that the existing devolution settlement constrains its ability to shift outcomes fundamentally. There was broad agreement that a stronger, more flexible settlement would materially improve London’s ability to drive housing policy and boost supply.
From a private-sector perspective, the operating environment for residential development in London remains challenging. James Knight, Partner at Arcadis, set out a market overview highlighting how sustained construction cost inflation continues to erode viability and suppress returns, limiting private-sector participation in London’s housing market. He also pointed to the cumulative impact of regulation, with the layering of new requirements alongside planning obligations increasing cost, complexity, and delay, and placing greater upfront capital demands on schemes.
Demand-side constraints featured prominently. Stamp duty was highlighted as a key source of friction in the market, discouraging buyers, dampening demand, and slowing transactions across the housing ladder. Participants agreed that without measures to restore confidence and stimulate demand, many consented schemes will continue to stall despite acute need.
While cost pressures remain a major constraint, there was recognition that viability challenges are being compounded by wider uncertainty in the delivery environment. Frustration with the operation of the planning system was a strong theme, particularly the impact of late‑stage reviews. There was a clear view that, where schemes have already secured consent, developers should be trusted to build. Continued scrutiny and regulatory intervention after approval were seen as adding uncertainty, risk, and delay – ultimately holding back delivery.
Beyond individual policies, a broader sense of disaffection with UK Government housing policy emerged. Participants described a perception that housing is too often viewed primarily through the lens of cost rather than as essential economic infrastructure. This scepticism, combined with cumulative regulatory and fiscal pressures, was seen as constraining investment and reducing appetite to commit capital to housing delivery.
While the discussion was candid about the lack of immediate solutions, there were some constructive reflections on what could work. Ballymore’s Chief Executive, John Mulryan, pointed to the housing model in Ireland – where reforms have helped increase housing starts five‑fold – as an example of what can be achieved when policy, funding, and delivery are better aligned.
Looking ahead, the Deputy Mayor struck a cautiously optimistic note, suggesting that 2026 could represent a turning point for housing in London. Improved political alignment between City Hall and the UK Government, alongside recently announced reforms, could help create more favourable conditions for delivery, even if the impact will take time to feed through.
London’s housing crisis remains both a social challenge and a fundamental constraint on the capital’s growth and competitiveness. While there are no silver bullets, there was a clear consensus that greater certainty, trust in the planning system, targeted demand-side support, and closer collaboration among business, City Hall, and Whitehall will be essential to turn ambition into homes on the ground.
With thanks to Arcadis and Ballymore, this year’s sponsors of the BusinessLDN Housing Lunch at MIPIM.