Recommendations & Conclusions
5 items
3
Recommendation
3rd Report: Building more social housing
Accepted in Part
The Government must publish statistics on net additions of the different tenures of affordable housing per year, taking into account completions, sales, demolitions and conversions. These statistics are currently disparate or not collected. This is especially important to track changes in social rented stock which has been affected by significant …
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The Government must publish statistics on net additions of the different tenures of affordable housing per year, taking into account completions, sales, demolitions and conversions. These statistics are currently disparate or not collected. This is especially important to track changes in social rented stock which has been affected by significant number of conversions to affordable rent and Right to Buy sales. Data will need to be collected on Right to Buy sales for each tenure, demolitions per tenure, change of use per tenure, and all other reductions. This will bring social housing data in line with overall housing supply data. (Paragraph 29) Land
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Government response AI summary
The government lists several types of data it already collects and publishes related to housing stock and sales, and commits to investigating the feasibility of publishing more comprehensive data on affordable housing to meet the full scope of the recommendation.
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Ministry of Housing, Communities and Local Government
13
Recommendation
3rd Report: Building more social housing
Accepted in Part
It is time for the Government to invest so the country can build 90,000 social rent homes a year. We appreciate that even with the funding we set out below, any programme will take time to scale up, but we expect the Government should be able to increase delivery to …
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It is time for the Government to invest so the country can build 90,000 social rent homes a year. We appreciate that even with the funding we set out below, any programme will take time to scale up, but we expect the Government should be able to increase delivery to 90,000 within five years.
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Government response AI summary
The government has announced a £12bn investment, including an £11.5bn Affordable Homes Programme aiming to deliver up to 180,000 affordable homes by 2025/26, with half designated for Affordable and Social Rent, but does not commit to 90,000 social rent homes per year.
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Ministry of Housing, Communities and Local Government
14
Conclusion
3rd Report: Building more social housing
Accepted in Part
The sector estimates that £12.8 billion a year in grant funding will be needed to deliver 90,000 social rent homes every year, alongside continued support for affordable rent and shared ownership. Central government grant funding is necessary because the current funding model is not delivering the numbers required to meet …
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The sector estimates that £12.8 billion a year in grant funding will be needed to deliver 90,000 social rent homes every year, alongside continued support for affordable rent and shared ownership. Central government grant funding is necessary because the current funding model is not delivering the numbers required to meet demand. The removal of the borrowing cap for local authorities will contribute only a small percentage of what is needed. This is around a £10 billion increase on current future funding for affordable housing.
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Government response AI summary
The government commits £12bn for Affordable Housing until 2025/26, aiming to deliver up to 180,000 homes, with half designated for Affordable and Social Rent. This provides substantial funding but is not at the estimated annual level suggested by the sector.
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Ministry of Housing, Communities and Local Government
17
Recommendation
3rd Report: Building more social housing
Accepted in Part
We are concerned the Government is letting history repeat itself, rather than learning its lessons from Starter Homes consultation. The Government has not conducted an analysis of the impact of implementing First Homes on the delivery of social housing through section 106 agreements. The Government has not conducted an analysis …
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We are concerned the Government is letting history repeat itself, rather than learning its lessons from Starter Homes consultation. The Government has not conducted an analysis of the impact of implementing First Homes on the delivery of social housing through section 106 agreements. The Government has not conducted an analysis of the impact of implementing First Homes on the delivery of social housing through section 106 agreements. First Homes should be added as an affordable housing scheme under Annex 2 of the National Planning Policy Framework, so that local planning authorities can set out polices for which affordable tenures, including First Homes, best meet the needs of their local communities. The current proposals have the potential to negatively impact on social housing delivery. Furthermore, significant Building more social housing 55 regional variations in the value of planning obligations, which are especially low in the North of England, would mean on some development sites, First Homes might squeeze out all other tenures or by itself make the development unviable.
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Government response AI summary
The government acknowledges concerns about the impact of First Homes on social housing delivery, stating they set a minimum 25% requirement for First Homes from developer contributions to balance provision. A new pilot programme for 1,500 First Homes will be delivered through the Affordable Housing …
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Ministry of Housing, Communities and Local Government
25
Recommendation
3rd Report: Building more social housing
Accepted in Part
We caution the Government not to make Shared Ownership Right to Buy a condition of affordable housing grant funding, until our suggested reforms on receipts are implemented. When Right to Buy is implemented for all housing associations, like with the pilots, the Treasury should reimburse housing associations for the cost …
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We caution the Government not to make Shared Ownership Right to Buy a condition of affordable housing grant funding, until our suggested reforms on receipts are implemented. When Right to Buy is implemented for all housing associations, like with the pilots, the Treasury should reimburse housing associations for the cost of discounts. This aligns with the recommendation we made in our report on housing associations and the Right to Buy in 2016. Otherwise, housing associations will face the same difficulties as local authorities in replacing sales.
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Government response AI summary
The government clarifies that the new Right to Shared Ownership scheme does not involve discounts and providers keep receipts, mitigating some concerns. Crucially, it commits to reimbursing housing associations for the cost of discounts under the Voluntary Right to Buy, directly accepting the second part …
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Ministry of Housing, Communities and Local Government