Agenda item

Question

The Executive is about to put the draft Housing Strategy out to consultation (agenda item 44).  The Strategy looks at housing priorities, and at how to deliver the maximum possible amount of affordable housing in the next four years.

Unfortunately, the Government has been consulting on proposals to reform the planning system.  Their proposals include measures which would drastically reduce the Council’s ability to deliver its proposed affordable housing, by:

• Exempting sites of less than 40 houses from any requirement for affordable housing;
• Setting proportions of affordable housing centrally instead of adjusting them for local need;
• Taking 25% of the affordable housing as homes for sale at a subsidised price instead of homes to rent;
• Dropping the ring-fencing of affordable housing infrastructure contributions.

If these proposals are implemented, what will be the impact on the deliverability of the Housing Strategy?

Answer

Wokingham Borough Council have been very successful over the recent years in delivering high numbers of new affordable homes working with our own housing companies, housing association partners and developers. Through our last Housing Strategy we delivered 1,182 new affordable homes and, alongside our ambitious targets through the Housing 1-4-5 initiative, expect to deliver at least another 800 new affordable homes through the period of this new Strategy.

However there is no doubt that the Government’s proposed reforms will reduce our ability to meet these targets and secure the much needed affordable housing for our residents and so have strongly objected to many of the Government’s specific proposals.

For example, whilst we recognise the new First Homes proposals may be an affordable option for certain proportions of our residents we have objected strongly to the Government setting a requirement to provide them as 25% of any affordable housing provision on new sites. We strongly believe that decisions on the tenure of affordable housing should be made at a local level and we will make sure we try to address this priority with local needs. 

The proposal to raise the threshold of the number of homes on any site where there is a requirement to provide affordable housing to 40 or 50 is also of significant concern. In Wokingham we have been successful in justifying affordable housing thresholds below the national minimum level and have adopted a lower threshold of five dwellings. This has not resulted in any reduction in any new housing development in the Borough or, I would add, the profits for the developers.

We have also expressed concern that the value captured by the proposed new infrastructure levy will not be sufficient to cover the cost of the infrastructure, let alone infrastructure and affordable homes. It would be likely the Council would have to make a decision between the two rather than delivering the both which is, of course, unacceptable.

The summary of our view is there is no justification for developers to contribute less towards affordable housing, even on a temporary basis, whilst building new homes remains viable.

Therefore the Government should think again.

Supplementary Question

I absolutely agree with everything John has said.  I do recognise it is awkward for you as a Conservative administration to be challenging a Conservative Government.  Can you tell me what support you have had from the areas four MPs?

Supplementary Answer provided by the Leader of Council

You know that we have been in the forefront of opposing the Government’s White Paper and I have had full support from all the four MPs, including our Labour MP.  I have been quite stunned by the support they have all given us.  You will have seen James Sunderland and Teresa May in Parliament. 

So all I can say is so far so good.  I have no idea where it is going to go but we have done our best and we will continue to do more I can promise.