Overhaul of planning rules ‘threatens to reduce supply of affordable housing’
On the face of it, bearing in mind the lack of affordable housing in rural settings this could be bad news…
Ministers have been warned that an overhaul of planning rules could cut the amount of affordable housing even further, despite Theresa May’s pledge to take “personal charge” of solving the housing crisis.
Serious concerns have emerged that an updated version of the government’s planning laws appears to alter the definition of what counts as “affordable housing” in a way that could make it less affordable.
The updated draft National Planning Policy Framework contains a new definition that has removed any direct reference to the most affordable type of property, known as social rented housing. However, it does include types of housing, such as shared ownership and starter homes, that cost far more.
Social rented housing is owned by local authorities and private registered providers and is let out to those most in need. Rents are on average about half the market value.
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Housing charity Shelter is raising the concerns in an official submission to the government’s consultation on the updated document. It also fears it will increase the use of “viability assessments”, which allow developers to limit contributions to infrastructure and affordable housing.
It comes amid growing evidence of an unaffordable housing market for many. Last week official figures showed workers faced paying 7.8 times their annual earnings to buy a home last year, up 2.4% since 2016.