UK Spending Review: Key Takeaways for Muslim Property Investors


Adil Hussain
Content Manager
3 min read
Last updated on:
We’ve just had the Spending Review, following on from the last two Budgets, and it’s clear Labour are thinking long-term. Rather than headline-grabbing quick wins, they’re focusing on big, structural projects where the real benefits won’t show up until well after the current election cycle. Risky for their political ambitions but arguably better for the country.
One area they’ve zeroed in on is housing.
As Muslims, we’ve always had a bit of a love affair with real estate. And with our sister company Cur8 Capital actively investing in this space, it’s something we’re watching closely.
There are some genuinely interesting moves being made here, from funding boosts for affordable housing to rent reforms that could attract institutional capital. Here’s what stood out to us and what it might mean for anyone wondering what this means for property investing.
£39 billion committed to the Affordable Homes Programme over 10 years
Labour has pledged to deliver 1.5 million new homes by 2030, with planning reform and private capital expected to play a central role in making that happen.
WIth this long term commitment, the government is aiming to increase supply in areas with housing pressure and pent up demand. The construction of social rent and affordable rent homes, which are typically 20% to 50% cheaper than market rents, will provide access to housing that underserved communities can actually afford.
More homes means more buying opportunities and more space for investors and developers to get involved. This is a positive step for the UK real estate sector and one that investors should watch closely.
£10 billion boost for Homes England to attract private sector investment
Homes England has been given an extra £10 billion to help unlock private capital for affordable housing, with a particular focus on working with SME developers.
The government is effectively stepping in as an equity partner in some of these deals, backing smaller property developers to help speed up delivery. It’s not often you hear the government described as a property developer, but that’s exactly what’s happening here.
At Cur8, we’re actively exploring more property development opportunities ourselves, so stay tuned for updates on that front.
New 10-year social rent policy from 2026
Starting in 2026, social housing providers will be allowed to raise rents each year by inflation (CPI) plus 1 percent. This brings long-term income certainty for investors, improving their ability to plan, raise finance, and invest in new developments.
The new policy provides long-term visibility offering a level of certainty in the residential sector. For investors seeking predictable income, like the Cur8 Capital GBP Income Fund, such investments can provide secure, stable returns through low-volatility, counter-cyclical assets that offer resilience even during broader market downturns.
For institutional investors, this level of stability is appealing. It also opens the door for more Muslim investors to consider social housing as a serious long-term option.
Increased focus on the North and Midlands
One of the standout themes in the recent announcements is the significant transport investment heading to the North, Midlands and parts of the West Country. Billions have been committed to tram, train and bus projects that aim to boost connectivity and stimulate local economies, a clear signal that these regions are being positioned for long-term growth.
Transport upgrades are often followed by increases in house prices, rental demand and development activity. For Muslim investors looking beyond London, these areas could offer strong long-term potential, especially when paired with the broader push for housing and regional regeneration.
Conclusion
The Spending Review paints a clear picture of where the UK property market is heading. With major funding for affordable housing, a more developer-friendly planning environment, rent reforms that create income stability, and billions flowing into regional infrastructure, the landscape is shifting in a way that opens up real opportunities for investors.
For Muslims who favour bricks and mortar, this is a moment to take seriously. Whether you’re looking for income, long-term growth, or projects with tangible impact, the signals from government policy are encouraging.
If you’re interested in accessing property-backed investment opportunities, check out what we’re doing at Cur8 Capital, where we’re building a pipeline of high-quality interest-free real estate deals.
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