Market Insight

New Towns consultation 2026 marks a pivotal moment for housing delivery in England

The Government’s latest New Towns consultation on seven proposed locations marks a significant step forward in addressing England’s residential housing shortfall.
April 9, 2026
A peaceful walkway in a lush residential area, with vibrant greenery and a wooden bench under a clear blue sky.
The Government’s latest New Towns consultation on seven proposed locations marks a significant step forward in addressing England’s residential housing shortfall.

Announced on 22 March 2026 and running until 19 May, it forms part of the Government’s wider ambition to deliver 1.5 million new homes by 2029.

The reduction in new town site from 12 sites originally identified by the New Towns Taskforce in September 2025, to a more focused list of seven, suggests a shift towards deliverability over volume.

Sarah Isherwood, planning partner at Vail Williams, explores the delivery challenges and planning implications.

Where will the proposed New Towns be?

The selected locations – spanning Tempsford, Crews Hill and Chase Park, Leeds South Bank, Manchester Victoria North, Thamesmead, Brabazon and the West Innovation Arc, and Milton Keynes – each present a compelling combination of scale, connectivity and economic potential.

  1. Tempsford, Bedfordshire: up to 40,000 homes centred on East West Rail, linking Cambridge, Oxford, London and Milton Keynes
  2. Crews Hill and Chase Park, Enfield: up to 21,000 homes addressing London’s acute housing need
  3. Leeds South Bank: up to 20,000 homes aligned with strong economic growth and £2.1bn in transport investment
  4. Manchester Victoria North: at least 15,000 homes supporting regeneration, with Metrolink connectivity
  5. Thamesmead: up to 15,000 homes unlocking constrained riverside land, enabled by DLR expansion
  6. Brabazon and the West Innovation Arc: up to 40,000 homes within a nationally significant innovation cluster
  7. Milton Keynes: circa 40,000 homes building on its New Town legacy and strengthening the Oxford-Cambridge Growth Corridor
construction site of new homes

Why infrastructure-led development is critical to New Towns delivery

What stands out about the proposed locations, is the deliberate alignment between housing delivery and infrastructure investment.

These are not isolated housing allocations, they are strategically positioned growth locations, underpinned by transport-led placemaking. That is critical if these schemes are to succeed as sustainable communities rather than simply large-scale housing numbers.

The role of the National Housing Bank in unlocking housing supply

The designation of Crews Hill and Chase Park, Leeds South Bank and Tempsford as priority intervention sites signals a clear intent to concentrate delivery in areas with the greatest capacity for early progress.

Coupled with the launch of the National Housing Bank which is backed by up to £16 billion to unlock more than 500,000 homes, this points to a more interventionist and delivery-focused role for Government. However, ambition alone will not deliver homes.

“From a planning perspective, the key risk remains the transition from strategy to implementation. The timeline is tight. With final proposals expected later this summer, there is limited runway for these schemes to make a meaningful contribution before 2029.”

Sarah Isherwood, Planning Partner, Vail Williams LLP.
Headshot photo of Sarah Isherwood
Even if delivered at pace, it is unclear whether these New Towns alone can make a sufficient contribution to the 1.5 million homes target, suggesting the Government will need to do more to tackle viability challenges and bring forward a wider pipeline of deliverable sites.

Key challenge will be delivering New Towns at pace

According to Sarah, housing delivery at this scale cannot be achieved through policy and funding alone.

“It requires genuine, sustained collaboration between the public and private sectors – not only to navigate planning complexity, but to proactively resolve the structural barriers that have historically constrained large-scale development,” she explains.

Infrastructure remains the most significant of these barriers. Transport, utilities and social infrastructure must be planned and delivered in parallel, not retrospectively, if sites are to come forward at pace.

This demands a solution-led, partnership-driven approach, bringing together landowners, developers, local authorities and investors with aligned objectives and a shared appetite for risk.

Sarah added: “There is also a broader opportunity here. New Towns should not simply be a vehicle for meeting housing targets, they should set a new benchmark for placemaking. Well-connected, sustainable communities that support economic growth and reflect how people live and work today.

“At Vail Williams, we see first-hand the role that clear strategy and early-stage planning and residential development viability advice plays in bridging the gap between housing ambition and delivery.

“The Government’s commitment to “use every lever” is encouraging, but success will depend on how effectively those levers are coordinated and deployed if we are to see New Towns contribute meaningfully towards housing delivery before the end of 2029,” concluded Sarah.