Source · Select Committees · Housing, Communities and Local Government Committee

Recommendation 11

11

Site-specific viability assessments frequently reduce affordable housing requirements unjustifiably.

Conclusion
Too often, site-specific viability assessments are used by developers to negotiate down affordable housing requirements in circumstances where this is completely unjustifiable. Affordable housing contributions are frequently the first provision to be cut following a viability assessment, even where a developer may be making other significant contributions through Section 106 agreements and CIL. In areas with high land values, viability assessments should only be used in this way in very exceptional circumstances. Currently, not all local authorities have their affordable housing requirements clearly set out in local policy. Greater clarity from local authorities would provide developers with the right incentives to avoid lengthy viability negotiations, and ensure more applications are meeting local affordable housing requirements from the outset. (Conclusion, Paragraph 70) 63
Government Response

A response document is linked to this report, dated 20 March 2026. Response attribution to this conclusion has not been verified. Read the response document ↗