Planning minister Brandon Lewis has written to English councils asking them to be flexible and pragmatic when asked by developers to renegotiate affordable housing delivery.
Planning Portal writes:
In the letter Lewis voiced concerns that, following a government announcement that social rents will be reduced from 2016-17, schemes for the development of housing association properties ‘are not being built out at the anticipated rate’.
The minister predicted developers would be approaching councils to renegotiate section 106 agreements to adjust the type of affordable housing provision.
He urged local authorities ‘to respond constructively, rapidly and positively to requests for such renegotiations and to take a pragmatic and proportionate approach to viability’.
Lewis said the ‘minimum amount of viability information necessary’ should be sought where developers proposed a reduction in affordable housing contributions. He said proposals to change the mix of tenures provided without reducing the overall affordable housing contribution were unlikely to warrant new viability assessments.
He also recommended that section 106 agreements should be drafted to allow for ‘the delivery of alternative forms of affordable housing if this becomes necessary’.
The minister said officials would be contacting councils to gauge the extent of renegotiations and what action was being taken.
See the letter
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