More than 26,000 new homes needed in Southampton by 2040, says Marrons

Southampton needs to build more than 26,900 new homes in less than two decades to meet the needs of the city’s 2040 population, research from multiservice consultancy Marrons has revealed.

With 223,777 more adults expected to be living in Southampton by 2040 – including 44,657 people aged 66 and over, 75,047 between ages 25 and 44, and 35,117 of student age – there’s a pressing need to accommodate the city’s demographic growth.

The research also identifies high levels of under-occupancy, with more than 9,458 people aged 66 and over residing in homes larger than necessary – that’s two or more bedrooms unoccupied.

If this trend continues, more than 13,386 households of over-65s are expected to be under-occupied by 2040.

Home to three universities, Southampton’s student-age population is projected to grow by 32 per cent to more than 35,000 people in 2040.

But its social housing stock is estimated to have plummeted by 3,582 despite 7,379 people being listed on their local authority’s housing register in 2023.

Dan Usher, economics director at Marrons with specialism in housing need evidence, said: “Southampton is set to see significant population growth across the board in the run up to 2040, especially the younger, student-age demographic.

“With its three universities, Southampton’s popularity as a place to study is going to grow rapidly and out of all local authorities in England, the city is going to see the greatest rise in 18-to-22-year-olds.

“However, while this shows the need for student accommodation, the city shouldn’t forget about other demographics.

“Building a range of homes to suit many different needs is not only a priority but a necessity.

“It creates more choice, aids first-time buyers onto the property ladder, gives expanding families additional space, helps the ageing population downsize and live in homes more suitable for their needs, and adds to the supply of affordable housing.”

In contrast to the remaining 19 local authorities within the South East, Southampton will need to deliver the greatest number of student properties, while also seeing the largest number of social homes (3,583) lost by 2040.

Buckinghamshire faces the challenge of providing the greatest number of homes by 2040 (51,506), while also dealing with the highest number of under-occupied properties (56,626).

Brighton and Hove is expected to see the largest uptick in its first-time buyer demographic (17 per cent) and Slough is anticipated to witness the most substantial increase in those aged 66 and over, with a projected rise of 49 per cent by 2040.

Simon Macklen, partner and head of economics at Marrons, added: “England is poised for significant demographic change over the next two decades, bringing forth new challenges and opportunities in the housing sector.

“In examining the data, it becomes evident there is a significant need for general market homes to accommodate the growing population.

“As well as meeting this basic need, more could be done to provide greater choice and acknowledge the positive impact of specialist and affordable homes as part of a functioning housing market, much of which can be facilitated through market-led development at scale.

“Already, England has been named as the most difficult place to find a home in the developed world, and our ageing population and rising property prices will only exacerbate the problem.

“If we’re going to meet the requirements of the population in 2040, we need to prioritise future residents and start building the right homes today.”