Recommendation 6

Homes England forecasts that around 36% of homes (2,370 of the total 6,600 planned homes) built on the land remediated through funding intended for Starter Homes will meet the definition of affordable housing.16 We were concerned though that funding intended to support first-time buyers will in fact result in so many market-value homes.17 Homes England told us that the Starter Homes programme intended to recover 75% of costs from onward sale of land to developers. It told us that, to date, it had recovered over 60% of costs.18 Homes England told us that, pre-pandemic, it expected to recover the remaining forecast receipts within 18 months but it could not yet provide a revised position in light of Covid-19.19 First Homes