Greenwich Approves 1,500 Homes, Affordable Cut; Greenwich 2026

Key Points

• Greenwich Council plans to approve a 1,500-home development at Morden Wharf on the Greenwich Peninsula, despite a reduction in affordable housing from the original 35 per cent commitment.
• Developer Galliard Homes proposed cutting affordable housing to 10 per cent in February, citing increased construction costs and changing building regulations.
• Galliard now aims for 20 per cent affordable housing or higher, pending confirmation under the Greater London Authority’s (GLA) new housing measures.
• The original scheme, including several tower blocks on the southwestern part of the peninsula, was approved by Greenwich Council in 2022.
• In February, Greenwich Council’s Planning Board deferred a decision on the updated plans, requesting clarification on GLA measures and details of Galliard’s discussions with registered providers.
• Mayor Sadiq Khan announced the GLA measures in October, allowing developers without upfront viability assessments to proceed with at least 20 per cent affordable housing, potentially accessing grant funding for half of those homes.
• The GLA’s ‘Support for Housebuilding’ London Plan Guidance (LPG) came into force last month, offering clarity on measures to boost housebuilding in London.
• Galliard Homes has returned to the council following the LPG’s adoption.

Greenwich, Galliard (South London News) April 8, 2026 -Greenwich, Galliard Homes’ updated Morden Wharf scheme on the Greenwich Peninsula is set for approval by the council, despite a cut in affordable housing provision. The development includes 1,500 homes across several tower blocks on the site’s southwestern section. As reported across multiple outlets, the original proposal received Greenwich Council’s approval in 2022. Developer Galliard Homes returned to the council’s Planning Board in February with revisions that lowered the affordable housing share from 35 per cent to 10 per cent. Galliard cited increased construction costs and evolving building regulations as the reasons for this change, according to coverage in MyLondon.

Galliard Homes stated it hoped to achieve 20 per cent affordable housing or more but awaited the Greater London Authority’s (GLA) new housing measures before committing. Mayor Sadiq Khan announced these measures in October, enabling developers to bypass upfront viability assessments if they provide at least 20 per cent affordable housing. Such schemes could access grant funding covering roughly half of the affordable homes delivered, as detailed in MyLondon’s reporting on the announcement.

Why Did Greenwich Council Defer the Decision in February?

Greenwich Council’s Planning Board voted in February to defer a final decision on the updated plans. Board members sought further details on the GLA’s forthcoming measures and information about Galliard Homes’ contacts with registered providers for the affordable housing component. This deferral allowed time for clarity, as noted in reports from MyLondon.

Galliard Homes has now resubmitted following the GLA’s adoption of the ‘Support for Housebuilding’ London Plan Guidance (LPG). The LPG entered into force last month, providing developers with explicit guidance to accelerate housebuilding across the capital.

Coverage from South London News highlights how this guidance addresses previous uncertainties that had stalled similar projects.

How Do the GLA’s New Measures Affect Developments Like Morden Wharf?

The measures, announced by Mayor Sir Sadiq Khan in October, target barriers to affordable housing delivery. Developers can proceed without detailed viability assessments by committing to a minimum 20 per cent affordable housing threshold.

Eligible schemes gain access to grants funding about 50 per cent of the affordable units, streamlining approvals amid rising costs. MyLondon reported on this policy shift as a response to London’s housing crisis.

As per Galliard Homes’ statements in council submissions, the firm aligned its revised proposal with these guidelines. The developer expressed readiness to deliver 20 per cent or higher affordable housing once the LPG confirmed eligibility.

Greenwich Council’s Planning Board now reviews the scheme under this framework, marking a potential green light for construction.

The initial 2022 approval mandated 35 per cent affordable housing within the 1,500-home project. Galliard’s February update slashed this to 10 per cent, prompting scrutiny.

Recent updates indicate a pivot to 20 per cent, contingent on GLA support. No statements from council officers contradict this progression, based on available reports.

What Role Do Construction Costs Play in the Affordable Housing Reduction?

Galliard Homes attributed the initial drop to 10 per cent to surging construction costs and regulatory changes. These factors have pressured developers capital-wide, as echoed in broader MyLondon coverage of a related 20-storey tower proposal near IKEA. The firm engaged registered providers but required GLA clarity before finalising affordable stock arrangements.

The LPG’s implementation resolves this by offering financial incentives, potentially enabling Galliard to meet the 20 per cent target. Council documents, as referenced in media, show no disputes over these cost pressures.

Galliard indicated a target of 20 per cent or possibly higher, pending LPG adoption.

With the guidance now active, the developer returned to Greenwich Council for approval. Statements from Galliard, cited in MyLondon, emphasise alignment with the new rules.

Background of the Morden Wharf Development

The Morden Wharf site forms part of the Greenwich Peninsula, a regenerating area on the River Thames’ south bank. Originally an industrial zone, it has seen residential and commercial growth since the early 2000s. Greenwich Council’s 2022 approval of the Galliard Homes scheme built on this, envisioning high-rise towers to house 1,500 residents.

The peninsula hosts landmarks like the O2 Arena and benefits from improving transport links via North Greenwich station. Delays arose from viability concerns post-2022, exacerbated by inflation in materials and labour. The GLA’s LPG emerges from ongoing London Plan revisions, first consulted in 2021, aiming to deliver 66,000 affordable homes annually by easing bureaucratic hurdles.

Predictions for Greenwich Peninsula Residents and Housing Seekers

This development could increase overall housing supply on the Greenwich Peninsula by adding 1,500 units, easing pressure on local waiting lists where over 10,000 households seek council homes. Residents may see enhanced amenities tied to the scheme, such as public spaces, though reduced affordable units at 20 per cent means fewer low-income options compared to the original 35 per cent plan.

First-time buyers and renters in the area might face competition from market-rate homes, potentially stabilising private rents if supply grows. Grant-funded affordable homes could benefit moderate earners, but those needing subsidised housing might turn to other sites. Broader Peninsula growth supports jobs in construction and services, indirectly aiding local economies without displacing existing communities.