Brogan MacDonald, Shira de Bourbon Parme

May 26, 2025

How shall we live? Housing as a driver for transformative change

With countries including UK, Canada, and US all planning to build millions of new homes in the coming years to address critical housing shortages, the real estate sector has the opportunity to reimagine how we will live and how our housing should perform. Ramboll has collaborated with the Human Nature Foundation and other leading architectural and consultancy practices to address these issues in a new report.

Liveable urban environment

The severe social and economic shortfalls that have propelled countries into a housing crisis result from systemic factors that require an integrated response, if we are to see real change. We should not overlook the potential of significantly increasing housing stock to not only tackle this crisis, but also be part of our response to the environmental crises entangled in construction, growth, and our collective everyday lives.

How could a nationwide initiative of housing-led development help us achieve our sustainability, resilience, affordability, and wellbeing goals?

A recent report by Historic England identified an opportunity to provide between 560,000 and 760,000 new homes in England by repairing and repurposing existing historic buildings.

But when new construction is necessary, how should we build — and how should we live?

Below, we outline ten performance objectives for new housing models:

1. Growing partnerships

Developing housing at scale is an opportunity to build partnerships across the private, public and third sectors. Working together can leverage investment and expertise to drive innovation in building technologies, materials, financing models to make housing projects more efficient, cost-effective and sustainable. They can support infrastructure developments and align with regulatory frameworks.

Non-governmental organisations (NGOs) and community-based organisations can play a crucial role in advocating for the needs of vulnerable populations, providing social services, and ensuring that housing developments are inclusive and equitable. These organisations can also help in mobilising community support and participation.

2. Building climate resilience

With increasing climate-related risks and their associated hazards, it is crucial to design housing that can endure and adapt to unprecedented thresholds. Integrating climate resilience into housing design is crucial for ensuring long-term sustainability and security, enabling homes to endure emergencies, facilitate recovery plans, adapt to climate change, and respond flexibly to hazards.

A report from the Global Commission on Adaptation shows that making infrastructure more climate-resilient can add about three percent to the upfront costs but has benefit-cost ratios of about 4:1. (Source: GlobalCommission_Report_FINAL.pdf)

3. Storing carbon

We have substantial untapped potential to displace expensive Carbon Capture and Utilisation Systems (CCUS) by scaling bio-based materials in new homes to store carbon from the atmosphere.

There is an affordable solution readily available to deploy. According to figures from Wood Knowledge Wales forthcoming report – assuming the use of 20m³ timber per home for 1.5 million homes – this equates to 6 million m³ of timber - storing approximately 6.4 million tonnes of CO₂ annually. This would achieve carbon capture and storage (CCS) 25 years earlier than current projections without requiring billions in upfront investments.

4. Re-examining supply chains

In the UK alone, the forestry capacity is available to build new homes in timber if biofuel is reallocated to construction. The opportunity gap in England is extensive, with only 9% of new-build homes constructed with timber, compared to 92% in Scotland according to The Structural Timber Association.

Constructing with timber could promote sustainable or regenerative farming and forestry, develop local industry and provide new green jobs, while progressing modular construction that enable more adaptable spaces and future extensions of homes to meet changing household needs.

5. Cultivating ecosystems

New homes can be designed to integrate with local ecosystems - this includes green roofs, vertical gardens, wildlife corridors, agroforestry, and permaculture principles for food growing. They should integrate rainwater management, air purification, community food composting and a biodiverse public realm with thriving pollinator gardens and community spaces, connecting private gardens to wider green infrastructure systems.

Questions around density require a considered approach to land and its multiple, often irreconcilable roles, as a vital resource for healthy ecosystems, food, and settlements.

6. Generating energy and water

Designing homes with renewable energy systems can make housing increasingly self-sufficient, reducing operational costs for residents and their reliance on non-renewable energy sources.

Integrated water systems including rainwater harvesting and purification and greywater recycling can conserve freshwater and reduce the strain on municipal water supplies. These systems can also enhance resilience against droughts and floods.

7. Rethinking waste

To reduce waste, the entire life cycle of housing can be designed according to circular economy principles with clear pathways for waste reduction or elimination. This may include constructing with reused, recycled and recyclable materials, creating systems that reuse household waste as energy and compost, encouraging recycling and sharing by residents in everyday life, and designing for easy disassembly and reuse of building components at the end of life.

8. Situating social infrastructure

Housing is an essential component of formal and informal social infrastructure. These days, we not only shelter and develop social networks, but also work, and access services through our housing.

Digital inclusion and equity, health and wellbeing, economic stability, resilience, and adaptability often start in our homes. Affordability is an ongoing concern—we need our homes to perform on less energy and water and with fewer maintenance costs to ensure they are not a drain on households in the future.

9. Designing experiences

Our experience of materials, spaces, and places is highly subjective but crucial to our wellbeing. Developing housing sensitive to diversity, stimulating our senses while instilling joy and curiosity, is vital for creating environments that will inspire present and future generations.

10. Connecting to networks

To create better connected, active, inclusive, and green mobility, we must enhance existing communities while developing new ones. Embedding sustainable mobility from the start, growing the local service and amenity offer, and thriving local centres will reduce car journeys and foster local identity, jobs, education, and wellbeing. Supporting existing communities and initiatives will increase vibrancy and develop new sustainable behaviors.

Large scale housing expansion presents a unique opportunity to redefine how we live and how our construction methods, infrastructure, and housing are designed. Our challenge now is to design housing as a driver for a sustainable, resilient, and equitable society, where each home and its residents are part of a collective that drives transformative change.

Want to know more?

  • Brogan MacDonald

    Associate / Head of Sustainability - Structures

    +44 7814 760380

    Brogan MacDonald
  • Shira de Bourbon Parme

    Principal Consultant

    Shira de Bourbon Parme