Construction Not Started on Thousands of New Homes in Reading with Planning Approval

The total number of new homes in Reading with planning permission but where construction work has not yet begun stands at 4,371 - including 395 affordable homes - latest figures show.

Every year Reading Borough Council produces what is known as a Residential Planning Commitments document, which lists all sites with planning permission and their status in terms of construction.

The latest version relates to 2024/25, up to 31 March 2025. Out of a rolling total of 5,530 homes which had gained the necessary planning approvals by Reading Council, construction had started on just 1,159 homes. It amounts to just over 20%.

Construction work on 395 affordable homes with planning approval had not yet begun.

A further 206 affordable homes with planning approval were under construction. 43% of these are new homes being delivered by Reading Borough Council as part of its own affordable house building programme, in this instance made up of 88 affordable housing units at Wensley Road and Hexham Road.

Under planning law, developers have three years to begin construction work on a site they have planning approval for. As long as this is adhered to, there is no subsequent time limit on how long it takes to complete.  

For context, the figure of 4,371 homes with planning approval where construction had not yet started is high by historical standards.  Over a 10-year period, between 2015-2024, the comparable average figure was 3,399.

Micky Leng, Reading Borough Council’s Lead Councillor for Planning, said:

“At a time when there is a desperate need for new housing in the town, it sounds almost implausible that there should be 4,371 potential new homes with full planning permission just waiting to be built out by developers, but that is the reality of what we are facing in Reading. That figure includes nearly 400 affordable homes which, if completed, would have a significant impact for many residents who are understandably struggling to afford housing on the open market.

"There can be several reasons for developers not building out sites they have permissions for. We know, for example, many of the potential new homes in Reading are larger flatted developments, which means developers will often focus attention on individual housing developments which can be freed up more quickly. But there is no doubt that after acquiring planning permission many developers are just waiting on these sites hoping to improve their profit margins, which helps nobody.

"The nature of new housing developments in a tight knit urban town like Reading means we often see peaks and troughs in the numbers, as and when large scale flatted developments come to fruition. That doesn’t change the fact that the number of new homes with planning permission where work has not yet begun is significantly higher than the 10-year average in Reading.

 “Reading Council is playing its part with the delivery of hundreds of new affordable council homes through its own local authority new build programme, including at Wensley Road and Hexham Road in 2024/25, and other new council house builds which will show up in future years’ figures. If private developers followed suit and delivered on the projects they have secured permission for, the impact on Reading’s housing market would be considerable.”

Reading Borough Council is on schedule to deliver a total of 403 council homes by the end of 2025 through its local authority new build programme. They include new developments already completed at Lyndhurst Road, North Street and Arthur Hill, as well as the Council’s acquisitions project.

In addition, 46 new affordable homes are set to be opened on Wensley Road estate early next year; 42 one bedroom units, 36 of which will be sheltered housing, are due to open in Hexham Road next year; work to deliver 30 new affordable homes on Dwyer Road began in the summer;  work began this year on building 17 affordable homes at Amethyst Lane; and work is due to begin next year on the Battle Street development of 62 new affordable homes, made up of 29 sheltered flats, 13 supported living flats and 20 general needs homes, plus an older persons day centre.