Social housing sector unprepared for AI despite rising adoption

A new research report has highlighted that while the adoption of artificial intelligence is rising in England's social housing sector, most organisations are ill-prepared to realise its full benefits.

The report, entitled "Aspirations and Applications of AI in Social Housing", was produced by Service Insights with academics from Leeds University Business School and surveyed 220 staff alongside 50 in-depth interviews across 10 housing associations in England. The research was sponsored by BCN, a provider of digital transformation and IT services.

Growing adoption, mixed readiness

The study found a clear interest in utilising generative AI technologies within social housing organisations but noted significant shortcomings in policies and governance for effective and ethical AI usage. The survey revealed that 31.1% of respondents are already using AI tools in their roles, yet only 22.1% are aware of AI being available to staff in specific posts. This points to inconsistent knowledge and integration of AI tools within these organisations.

Those who do use AI report positive impacts: 93.8% stated that AI assisted them by saving time, enhancing communication, and improving overall productivity. Despite these advantages, there remain notable reservations about the reliability and alignment of AI technologies used. Only 20.2% of staff trust AI to consistently deliver accurate information, while 41.7% believe AI is aligned with their organisation's values.

The report also highlighted a significant obstacle to further adoption - data quality. The authors concluded that "a significant gap still remains for improving data quality" across the sector, limiting the potential of AI systems that depend on high-quality data.

Calls for strategy and investment

In response to these findings, BCN is urging housing associations to address the most pressing gaps in their AI approach. The company stresses the need for more comprehensive strategies in data readiness, skills training, and the development of robust AI governance frameworks.

"AI is no longer limited to enterprises, the benefits are now available for every type of organisation. There is a huge opportunity for social housing organisations to level up and move forwards with the right advice and foundations in place. The research shows AI is being used without the right guardrails in place. Housing associations need to get data ready, roadmap their AI strategy and deliver solid implementation and adoption to deliver stronger business outcomes," said Mark Rotheram, CTO at BCN.

Rotheram expanded on the possible uses of AI, explaining that predictive analytics, tenant risk profiling, and service forecasting could all provide real advantages to housing associations, given that they approach adoption strategically.

"There are many use cases where housing associations could benefit from AI adoption, including predictive analytics, tenant risk profiling and service forecasting tools, but they need support to move from experimentation to strategic, ethical, and impactful AI adoption. Associations need clear leadership, policy development, and structured implementation plans to address the issues the research raised," says Rotheram.

Training and confidence challenges

According to the report, staff preparedness is another barrier to further adoption. Less than a quarter of surveyed staff said they felt confident using AI in their daily responsibilities, and 30% rated their confidence as poor or very poor.

"There is an additional need for housing associations to offer AI literacy programmes, training modules and change management for staff, so they understand the benefits of AI. With the right training and AI tools in place housing associations and their tenants stand to benefit enormously," says said Mark Rotheram, CTO at BCN.

The report emphasises that effective AI usage will require not only technical solutions but also significant investment in both staff training and cultural readiness.

Implications for the sector

The findings suggest that while England's social housing providers have begun to adopt new technologies, they must resolve persistent gaps in governance, data quality, and staff competence to deliver long-lasting value for both staff and tenants. The report encourages a holistic approach, combining robust leadership, clear policies, and adequate investment in skills to ensure ethical and impactful implementation of AI solutions moving forward.