Mr Burnham has argued that the £39bn programme, announced under Sir Keir Starmer’s government, should be “dedicated to council homes”, adding: “Let’s not be coy any more … I’m saying council homes because control matters.”
But only three councils are among the 33 groups receiving guaranteed funding, with most of the money going to housing associations.
London is also set to receive a further £10bn from the programme as part of Labour’s target to build 300,000 by 2036.
The Government confirmed the full list on Tuesday of 33 groups to receive the initial funding. These include housing associations such as Clarion, Orbit, Places for People and Sanctuary, as well as developers including Vistry and Sage Homes.
Several of the housing providers have faced criticism from the Housing Ombudsman over their treatment of tenants.
Places for People was reprimanded for “severe maladministration” last year after taking around eight months to inspect a home affected by damp and mould and a further seven months to complete repairs. It was ordered to pay £2,100 in compensation.
Clarion, Britain’s biggest housing association, was reprimanded by Michael Gove, the former housing secretary, in 2024 after the Housing Ombudsman found four cases of severe maladministration.
Mr Gove wrote to Clarion’s chief executive after the watchdog uncovered delays, poor communication and failures to act on repairs.
In one case, leaks were left unresolved for five years, while another involved failures to respond properly to damp and mould.
Sage Homes was also ordered to conduct an independent review after the Ombudsman found it had failed to address a resident’s vulnerabilities and safeguarding concerns properly.
The affordable housing announcement came as Reform UK also unveiled plans to increase social housing supply, including allowing housing associations to borrow more and expanding Right to Buy.
The party has said it would prioritise British-born applicants for social housing.
Amy Rees, the Homes England chief executive, said on Tuesday that strong demand for funding showed the sector still backed plans to deliver thousands of social and affordable homes.
She said: “Our team is absolutely focused on working in close collaboration with our partners alongside regional leaders, mayors and the sector to deliver on government policy and ensure this investment supports the creation of high-quality homes and thriving places that people want and need.”
