Maybe the Government has got it right

Am I alone in thinking that the Government’s proposals for planning have some merit?
Firstly, the previous regional strategies (whilst effectively an arm of central government policy) did not deliver, and were neither understood nor accepted by the general public.
They were seen as technocratic for the professionals to debate, attracting the attentions of vested interests or specialist pressure groups, rather than a means of addressing the real planning issues of affordable housing, good design, integrating new development into old, and above all, getting the public sector to speak with one voice.
There is firm evidence that targets are more effective than no targets, from research into performance in England, Scotland and Wales where the latter two had none, and England that did (through the regional strategies) performed better, and was at least moving in the right direction. Perhaps they will return in some form?
The Localism Bill has also included the strategic duty to co-operate amongst public agencies involved in the spatial planning process so “joined up” is more likely.
The Government is insisting on local and neighbourhood plans, engaging the community (if not led by them). Whilst a little clumsy, this threatens local authorities that don’t prepare plans with a “presumption in favour of sustainable development”. Isn’t this good news for planning, introducing a requirement for local authorities to resource and update a local plan?
They are insisting on pre-application advice and community engagement. They are seeking decisions within 12 months. Doesn’t this require a properly resourced and skilled local authority development management team for planning applications?
OK, so the current rather uncivilized debate between ministers, the National Trust and CPRE exposes a proper concern that the last “presumption in favour of development” (not “sustainable development”) introduced by Nicholas Ridley led to some of the worst planning decisions in the last century, and a loss of confidence from which some of the profession have never recovered.
But ministers must surely not want to make planning an election issue – either locally or nationally – and will have to introduce some strength into the National Policy Planning Framework to allay the concerns of Middle England about Green Belts, countryside, and green fields?
I believe that the principle of transferring responsibilities (and accountabilities) down to the local community is exactly what might be required to increase the miserable turnout for local council elections and also require housing and planning professionals to start to improve communications and win the arguments for more housing, good design, sustainable communities and joined-up government.
There are many in the SW Region who already have outstanding relationships between politicians, professionals and the communities they serve, and are delivering more housing, especially more affordable housing. Let’s give the new approach a try.

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Coalition housing policy – brave or foolhardy?

The Hydra has already remarked on the fact that our ConDem Coalition government has set out on a brave course.  To the point of being foolhardy?

True, we have seen a few U turns in sensitive areas of policy, but according to the latest report from BNP Paribas, the spectre of unintended consequences may be about to strike again, with deep-rooted effects for housing in the South West Region.

Our ConDem leaders made major changes to regional planning strategies last year, scrapping housing targets and introducing Localism, to give local people more say on planning decisions.

Full of hope and optimism, the Hydra thought that people might actually want to have their sons and daughters, grannies and grandpas living nearby, but according to the research, the most vocal people in communities are aged 40+ and less in need of new housing. Consequently, it seems, they are less inclined to support new housing.

Now we find that planning permissions in the South West are at a record low and the BNP Paribas research predicts that the housing shortage nationally will worsen in coming years.

This, combined with the reports that Housing Associations have shrunk their building plans in their bids for Homes and Community Agency grant, is a cause for concern for the future of affordable housing in the South West.

No amount of tinkering by the Housing Minister, with incentive schemes and cash for first time buyers, will address the continuing and worsening supply of housing.

The Hydra is not a political beast, but the SWHI (South West Housing Initiative) has worked for so long and so hard to persuade politicians to recognise the particular issues that the shortage of affordable homes causes in our region, so it is galling to be caught up in something that the government may not actually have intended to happen.

Our leaders have set out an ambitious programme of reform and the Hydra recognises that something must be done;  but it will only work with the streamlining of the planning system and properly thought-through and implemented local development plans, together with  finding ways to get people to accept something they would rather not have – increased development.

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LESS IS MORE – says Housing Hydra SW

The Coalition Government has embarked on a brave course.

It is committed to ending the Regional Strategies put in place under the previous Administration and substituting a locally-based planning system for determining and delivering housing and all other requirements.

Alongside the legislative change of the Localism Bill, planning policy is to be radically shaken up as well. Gone will be the many Planning Policy Statements of today. In will be a seriously boiled down single set of national guidance in the National Planning Policy Framework.

Is this scary or liberating?  The Hydra hopes for liberating – as Hydras do.

And this is not necessarily a forlorn hope.

How many times have we all seen examples of the good intentions of the present planning rules get in the way of the best? Too many.

Current rules have grown ever more complex, hard to interpret and foster an emphasis on control at the expense of creativity.

But the Hydra does not suggest “no rules”.

We need to know that local power will be exercised with responsibility and bear in mind key public needs – not least to ensure an area’s housing requirements are properly assessed and planned for.

Beyond such core requirements, however, the more flexibility there can be for planners, local politicians, developers and communities to talk about ways in which their wishes can be reconciled without being bound by prescriptive rules the better.

Of course, nothing in life is ever simple.

But if we are adult and focused about the current position, less in the way of rules really could mean more in terms of desired results.

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Of course I support affordable housing – just not here

By Simon Nunn, Head of South for the NHF

I would hope that if you’re reading this it’s because you care about the current housing shortage.

But come on let’s be honest, how many of us would react positively to a new affordable housing development in a field opposite our house? Or on a bit of green space where we walk our dog every day?

When I talk to people about the work of housing associations and the NHF they all agree that affordable housing is a good cause. But all too often they have a tale to tell about a proposed development nearby which of course they would support, but it is in ‘the wrong place.’

I  used to rent in a beautiful regency terrace where a new development had been built literally at the end of everyone’s garden. This not only totally blocked the view but pile driving had resulted in huge cracks down everyone’s walls. If I had lived there at the time that was being built, even I can’t imagine being enthusiastic about the development – affordable or not.

So those of us who despair at NIMBYISM need to be realistic.

For communities to support development they need a  lot of reassurance and they need to see and understand the human story behind the bricks and mortar.

Housing associations and developers need to engage in a genuine dialogue and consultation with local communities and be seen to be interested in their concerns.  As we in the SWHI are constantly saying, affordable housing is vital for the local and regional economy but communities often find it hard to see the big picture when faced with a development proposal.

It’s up to all of us in the housing world to make sure that the human picture is understood.  It is also up to Local Authorities across the South West to show some political leadership and start making the case for more affordable housing, even if that means falling out with a few very vocal constituents.

The reality for younger  people and families in the South West is increasingly sofa surfing, overcrowding, staying at home with Mum and Dad and a complete despair that they will never be able to aspire to own their own home.

If we’re confident we are building the right homes in the right places then let’s confront NIMBYISM head on.

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Time for a Change – says Debby Wheatley, Group Services Director, Magna Housing Group

It was only two months ago that the Housing Minister announced a series of proposals to reform social housing in England, which, linked to the earlier Comprehensive Spending Review, have the potential to significantly affect the housing sector and thousands of households in the South West for years to come.  Last week, consultation on those proposals closed and we are all waiting for the details of the policy changes to be announced.

Social housing reform could offer opportunities:  a fresh and more flexible approach to social housing could allow wider groups of people to access a range of different types of accommodation and tenures within the sector.  It is vital however, that this is thought through properly, modelled regularly and that the outcome is improved housing choices which meet both the needs and aspirations of new and existing tenants.

I would like to see the reforms making the social housing system fairer, giving social landlords greater flexibility to make the best use of their housing and allowing local solutions to meet housing needs.

I would like to see “social” removed from the concept of housing and I would welcome the opportunity as a landlord to develop affordable tenancies that offer real opportunities to create a stable intermediate rented sector.

I am wary of proposals that could exacerbate marginalisation of the current social rented sector, measures that increase costs to the public and destabilise communities with effects that run counter to the government’s aim to create communities through the Big Society.  The government in considering the responses to the consultation and finalising the details, must review the term of fixed term tenancies (two years is too short), tackle the underlying need for a greater choice of housing options in a wider housing market, reconsider capital rather than revenue funding for sub-market housing and allow housing organisations the flexibility to manage their assets to maximise non-public funding.

The last two years saw investment in social housing at the highest sustained level for 60 years.  The UK Housing Review shows that overall gross investment in housing is now up by 80% since the late 1990s, although current prospects are bleak as the sector faces reduction in investment as part of the government’s measures to deal with the national deficit.

We need investment models that will work in the South West as well as in higher value areas like London and the South East. In lower value areas of the SW the revenue is unlikely to compensate for cuts in capital funding.

Around one in five homes in Britain are socially rented housing, but demand outstrips supply in almost every community and the way we have evolved of  rationing social housing has, for whatever reason, in many areas led to high concentrations of poverty and deprivation.

Now is the time for the government to re-think this approach and to get it right, to provide a platform for opportunity and choice and guard against disadvantage and to provide a range of stable homes for people who are unable or find it difficult to access homes on the open market.

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Housing in a fog – but at the crossroads!

The first six months of the Coalition Government have seen a stream of policy announcements, heralding some fundamental changes to the planning and housing systems, at the same time as the inevitable major cuts in public funding which we had been warned to expect.

At a time when much needed new homes completions have fallen to less than half the minimum required to keep up with household growth in the South West, it really is tough for people needing a home of their own.

There are some glimmers of hope.

In this relatively prosperous part of the country, we are in a better position to try to move forward as, at some stage, investment in infrastructure and homes will start to become a more attractive proposition again.

But for that long term investment in market housing, home builders really need the planning rules to be clear. At the moment, whilst we are in no doubt about the thrust of policy such as the abolition of Regional Spatial Strategy’s building targets, the ideas of communities exercising a right to build, and financial incentives for local authorities, there is no certainty about whether these ideas will deliver.

For those hoping to access homes at the bottom end of the market, including through shared ownership, there also seems to be the likelihood that, in this new risk-averse climate, mortgages for those key drivers of the housing market will become harder to get as they are regarded as sub-prime.

This is very disappointing as it wasn’t this group of people that led the banks to get into trouble a couple of years ago!

Affordable rented housing is facing a tough time with steep reductions in grant for new homes, coupled with future plans for significantly higher rents. This is a particular issue for our region, where earnings are below the national average, whilst market rents like house prices, are above the national average.

Although the Government has also announced radical changes to the benefits structure, to encourage more people into work, the risk in the South West, is that as the economy picks up employers will be under pressure to raise wage rates or potentially more mobile employees will move to other areas where the income/housing costs ratio is more favourable.

In the fog that we are currently experiencing, we cannot be sure what the combined impact of all these changes might be. And as we haven’t seen such radical change in a number of interlinked policies at the same time for decades we don’t know whether these new approaches will or will not work.

So against that background we have to see how we can try to help assist both economic recovery and provision of sufficient homes for we know that these aspects are inevitably closely interrelated.

The Government say that the thrust of their policies – and especially that of the “big society” – is to give communities the ability to shape their neighbourhoods and areas.

Are communities up to that challenge and how will they respond?

Leaving aside the expectation that many more people will voluntarily engage with such opportunities than hitherto, the fear in our beautiful part of the country is that in many places this could result in severe constraints on development of new homes. In the medium and longer term that will, of course, hamper aspirations to establish sustainable and balanced communities.

In this new environment, local Councils have a pivotal role in enabling their communities to prosper and thrive. They are being given greater control over planning and some limited financial incentives to ensure that new homes are provided.

But will they seize that opportunity? To do so they need to be proactive and make sure that they retain the resources that will enable them to make things happen and particularly ensure that the local economy grows. SWHI and its members are ready and willing to help local authorities in meeting this challenge.

Richard Kitson, SWHI Chairman

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On the face of it, housing in the South West is in a mess!

martin-willeyAccording to the Home Builders Federations (HBF), the coalition government’s scrapping of Regional Spatial Strategy housing targets (around 30,000 p.a.) has already seen land for some 80,000 homes removed from Council plans.

The Homes & Communities Agency (HCA) budget for housing support has also been slashed once and looks likely to be cut again in the Comprehensive Spending Review (CSR).

House building in the South West is at a record low, probably close to 10,000 over the last 12 months, albeit with a higher proportion of social housing, at a time when the region is generating 25,000 new households each year.

Meanwhile, local councils’ cuts will reduce professional housing and planning staff to inadequate levels for the assembly of data on need, to prepare plans, and to take those plans through the community engagement process and to manage planning applications.
Uncertainties regarding Section 106 and the new Development Tariff, together with a lack of resources to collect the evidence to ensure that they deliver the correct planning contributions to new infrastructure – health, education, transport, care, open space – also seem likely to delay much needed housing for some time.

The Government response seems to be to increase the role of local communities – “localism” – to rely on a local referendum to allow housing to bypass the regulatory processes in the SW, the region where NIMBYism runs at its strongest.
However, the Government intends to support local plans that have run the community gauntlet, guaranteeing a “presumption in favour of development” if they comply, with a similar presumption in favour of sustainable development if no approved plan is in place.
But perhaps the world has changed, and certainly there is no denying that the RSS target process has failed to deliver the required housing.

Planners support community engagement, which has been part of the statutory planning process since 1970. They, and their councillors, will have to assemble robust evidence and use powers of persuasion that convince their communities of the need for more housing, and make sure that the green and design qualities overcome resistance and respect the local environment.

Although there is no doubt that the SW will experience a growth in household formation of around 25,000 per year, much of this could be satisfied by making better use of existing houses.

The current increase in the region’s housing stock from new building is less than 1% p.a. By far the biggest proportion of house sales is the recycling of existing homes.

Some 30% of new household formation is created by the elderly, many of whom are under-occupying existing housing. The South West’s much publicised “second home” market also has under occupation, although they bring much needed jobs to local workers through maintenance and their spending.

Building new homes is crucial, but not the sole solution to this region’s housing crisis for those new households and all those workers the regional economy needs – especially the delivery of affordable housing. Bringing existing homes back into more efficient occupation is as important as building new homes.

Cornwall is offering incentives for those who release under-occupied or vacant housing. There are good examples of both housing associations and house builders building smaller units to attract residents out of larger units.

A recent Policy Exchange paper attacks the affordable housing crisis from a different area. It proposes to improve affordability by offering low interest deposits and mortgages to those in social housing to get them onto the home ownership ladder. The SWHI also recently exposed the myth that shared ownership mortgages were high risk – they are extremely low risk, but it will require a major change in the lending environment to see a significant increase in lending to first timers.

Martin Willey, SWHI co-ordinator

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