Councils and developers reacting to housing associations' reluctance to buy affordable homes, by switching properties away from rentals
Experts predict knock-on effects from the unfolding crisis, caused by housing associations being unable to afford the homes, will hit families already suffering the surging prices of anhas identified examples of developers and councils switching affordable rental properties towards home ownership models because they can’t find associations to act as landlords. Experts say this trend will continue unless urgent Government action is taken.
In Shoeburyness, Essex, a planning deal between house building giant Taylor Wimpey and Southend-on-Sea Council has been amended this month to shift what would have been “affordable rent” homes – available to families on benefits to ones which are only available to people intending to buy, who can pass a affordability check.
“It could be a drop off of 1,700 units a year but we will not see that come through in the official figures for a couple of years.” “Housebuilders are trying to amend the social and affordable rented homes to affordable homeownership products such as shared ownership or discounted market sale to keep sites moving but local authorities are resisting,” she told“Most housebuilders, big or small, say it is an absolute nightmare to navigate.
Taylor Wimpey’s land manager Rob Piggott told Southend Council in a letter last December that “all avenues to deliver the affordable housing on site as intended through the application and S106 have been exhausted”. *Rentplus said the majority of its tenants were working or in education or training but its model was suitable for people at risk of homelessness and could free up social rented homes which were already occupied to help others in greater need.
“Unless the Greater London Authority or the local authority in which the homes are located comes up with some sort of solution, or the Government says there is lots of cash in the Treasury, some of the units built for social rent will be converted into housing for sale or market rent,” Mr Mortimer said.
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