The UK government may not meet its goal of building 1.5 million new homes by the next election, according to Angela Rayner, the communities secretary. She admitted there is only a "slim chance" of reaching the target, but emphasized that the goal is not being abandoned. Rayner described the pledge as a "stretch target," meaning it was ambitious but not necessarily unattainable. She added that she was "definitely not giving up" on the goal, stressing the importance of maintaining the commitment despite the challenges. The government's housing target has been affected by rising inflation, partly due to the ongoing conflict between the US and Iran. This has increased construction costs, leading housebuilders to reduce the number of developments they are undertaking. Despite Labour’s planning reforms, which aimed to simplify the process and increase housing supply, the progress has been slower than expected. Rayner acknowledged for the first time that meeting the target might not be possible before the next election. Prime Minister Andy Burnham has shifted focus toward building council houses, which are homes rented at below-market rates for low-income families. Rayner noted that Burnham has made it clear that building these types of homes is a top priority. The government recently announced a £10bn investment in a social and affordable homes program, which has already led to a 15% increase in new home starts compared to the previous year. However, international economic pressures and rising construction costs are making it harder to meet the overall housing target. Burnham initially suggested that the £10bn from the Affordable Homes Programme would be spent entirely on social housing, but he later changed course. Instead, the funds will be used for a mix of housing types, including social rented homes, shared ownership schemes, and sheltered housing. Outside London, 70,000 homes will be built, with about 60% designated as social rented homes. An additional £6bn will be allocated for London, though the exact distribution has yet to be determined. To encourage private sector housing development, the government is considering relaxing regulations, including pressuring local councils to approve housing projects near well-connected public transport hubs.