An independent report by the Lloyds Banking Group Commission on Housing has recommended new targets for new build housing, better public engagement and more longer term development partnerships to meets the housing needs of the future.
Lloyds Banking group writes:
Today (28/01/2015) sees the launch of an independent report by the Lloyds Banking Group Commission on Housing at the House of Commons, which sets out a roadmap towards the sustained supply of good quality new homes. The aim of the Lloyds Banking Group Commission on Housing is to generate cross-party agreement on key policy areas which could make a significant difference in providing greater levels of new homes.
Co-chaired by Mark Prisk MP and Nick Raynsford MP, two former Housing Ministers from different political backgrounds, the Commission also includes a number of industry experts from different fields who collectively generated the insight shaping the conclusions of the Report. The research underpinning the report has been carried out by Cambridge University and sponsored by Lloyds Banking Group. The Report calls for a progressively rising target for national house-building which will deliver 2 million to 2.5 million homes by 2025. To achieve this, the focus needs to be on the delivery of more high quality yet affordable homes, with large private sector builders supported by:
- A revitalised SME home-builders sector and custom/self-build sector.
- A new professional rental sector backed by institutional investors, with more secure, longer-term tenancy agreements.
- A duty placed on all public sector bodies to review land holdings and assess the case for the disposal of surplus for the purpose of new homes.
- Strategic Plans introduced to provide clarity to Local Planning Authorities (LPAs) on the number of new homes needed and the infrastructure around them at ‘first-tier’ council level
- Meaningful public engagement which informs local communities of both the need and benefits of more high quality homes.
- A review of the balance between public expenditure on new homes and housing benefits that help to pay rents.
Other key recommendations in the Report are:
- Planning: the National Planning Policy Framework (NPPF) should not be significantly altered over the next decade. Government needs to ensure that all Local Authorities have local plans in place (currently 40% of districts do not have a Plan that has passed an examination).
- Strategic Planning should be introduced to address the small geographies of districts, to introduce better co-ordination of infrastructure delivery to match housing growth, and to ensure that properly planned areas of housing growth recognise the natural capacity of the area. These should be sub-regional – at ‘first tier’ council or ‘city region level – so as not to be too remote from local public engagement and to maintain democratic accountability for planning at a local level.
- Compulsory Purchase Orders: Greater clarity is needed on the rights of local authorities to use these to assemble large brownfield sites from smaller parcels in multiple ownership to stimulate brownfield regeneration.
- More long-term development partners: HM Treasury rules concerning ‘best value’ need to change to encourage government departments, NHS trusts, local authorities and other public bodies to become long-term development partners. Local authority bond guarantees should be matched to this land release until 2025.
- Clear targets for Local Authorities: over the time taken with S106 agreements and pre-commencement conditions. The difference between the best and the average can shave 18 months off the process from starting pre-applications to opening the first show house.
- Reform of the Construction Industry Training Board: In order to improve the operation of its levy on the industry and to improve the relevance and speed of the training it provides.
