affordable housing strategy

23
1  Affordable Housing Strategy Update 2007/8 Affordable Housing Strategy update 2007/8

Upload: misterxsbeard

Post on 14-Apr-2018

218 views

Category:

Documents


0 download

TRANSCRIPT

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 1/23

1

 Affordable Housing Strategy Update 2007/8

Affordable HousingStrategy update2007/8

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 2/23

2

Chapter 1  Introduction 2

..............................................................................................................................................................Chapter 2  Changes in the policy context. 4...............................................................................................................................................................

Chapter 3  Evidence of need – what has changed 6...............................................................................................................................................................

Chapter 4  Targets for affordable housing 12...............................................................................................................................................................

Chapter 5  Securing affordable housing - delivery mechanisms 13...............................................................................................................................................................

Chapter 6  MSP Affordability Strategy 17...............................................................................................................................................................

Chapter 7  Allocations policy for new intermediate 18housing achieved through the planning system.

...............................................................................................................................................................

Chapter 8  Monitoring 19...............................................................................................................................................................

Chapter 9  Conclusion 20...............................................................................................................................................................

Appendix 1 Detailed needs assessment table for Salford 21

...............................................................................................................................................................Appendix 2 Action plan 22

Contents

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 3/23

3

 

Introduction

This document supplements and updates Salford’s Affordable Housing Strategy -“Partof the bigger picture : affordable housing in Salford” 20061 . The previous strategy waswell received and was used to support the development of the council’s HousingPlanning Guidance, which was adopted in December 20062 . The strategy was alsoquoted in Parliament in a debate about affordable housing. (Hansard 17 January 2007Column 285WH)3 .

Since Salford published the 2006 Affordable Housing Strategy there have been anumber of changes in government policy, the housing market and the city’sinformation base. This Affordable Housing Strategy update is intended to respond tothese changing factors.

Within the strategy update we set out the policy changes that have taken place since2006, such as the publication of Planning Policy Statement 3 (PPS3): Housing, theHousing and Regeneration Bill and the Housing Green Paper.

Salford’s Housing Needs Assessment was carried out in 2007 and this found a need for674 affordable dwellings per annum. Within this strategy update we set out the tenuremix that will be needed to meet this need, and the sizes of properties required. We havealso updated our ndings on house prices and their relationship to income, affordablehousing supply and consider the issue of key worker need.

This document also sets out the different mechanisms and products that the citycouncil will use in order to ensure that there is an adequate supply of new affordablehousing that is appropriate to the needs of the city’s residents.

1 http://www.salford.gov.uk/affordable-housing-strategy.htm

2 http://www.salford.gov.uk/housingplanningguidance.htm 3 http://www.publications.parliament.uk/pa/cm200607/cmhansrd/cm070117/hallindx/70117-x.htm 

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 4/23

4Changes in the policy context

National policyPlanning Policy Statement 3 (PPS3)4: Housing sets out the nationalplanning policy framework for delivering the government’s housingobjectives, and is set within the context of the national SustainableCommunities Plan5 . It was published in November 2006 and paragraph

9 of PPS3 states that the government’s key housing policy goal is;

“to ensure that everyone has the opportunity of living in a decenthome, which they can afford, in a community where they want to live.”

PPS 3 sets out the council’s expected role in delivering affordablehousing provision through their planning and strategic housing powers.Local authorities need to ensure that the right housing is in place tomeet current and future housing need demand. PPS3 specicallyrequires local authorities to set targets for affordable housing,including overall numbers and also the type and tenure of theaffordable homes required.

Alongside PPS3, the government also published “DeliveringAffordable Housing6” which sets out good practice and guidance, ondelivering affordable housing. It outlines the affordable housingchallenge that needs to be met, and provides information on howexisting delivery mechanisms operate to help in delivery.

4 http://www.communities.gov.uk/planningpolicystatement35 http://www.communities.gov.uk/sustainablecommunities

6 http://www.communities.gov.uk/deliveringaffordablehousing 

An increased national emphasis on affordable housing delivery hasbeen further underlined by the recent Housing and Regeneration Bill(DCLG 2007)7. Furthermore, the Housing Green Paper Homes for theFuture: more affordable, more sustainable8, is also concerned withissue of affordable housing and sets out a target of three million newhomes by 2020. It suggests local authorities will need to play a stronger

role in facilitating the supply of affordable housing to meet identiedneed, and demonstrate that they have taken necessary steps to meetthis need.

PSA Delivery Agreement 20: Increase long term housing supply andaffordability9 is clear that increasing the supply of affordable homes isone of the government’s key priorities. The delivery agreement statesthat the government’s vision is that by 2011 there will be:

An increased housing supply in all tenures including social rented•and other affordable homes.An Increased supply of affordable housing and investment in•prevention of homelessness .

The government will measure progress using a suite of indicators including:

Trends in affordability measured using the ratio of lower quartile•house price to lower quartile earnings.Number of affordable homes delivered.•Number of households in temporary accommodation.•

PSA 20 is a national target which will be delivered through a variety ofmechanisms. As a housing partnership we must assess both how wewill deliver the aims of PSA 20 and measure the indicators.

7 http://www.communities.gov.uk/housingadregenerationbill

8 http://www.communities.gov.uk/homesforfuture 9 http://www.hm-treasury.gov.uk/media/9/D/pbr_csr07_psa20.pdf

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 5/23

5

Regional policyThe emerging Regional Spatial Strategy (RSS) for the Northwest ofEngland provides a framework for growth and development across theregion, and it is anticipated that it will be nalised later in 2008. PolicyL5 states that:

“Plans and strategies should set out requirements for affordable

housing and the location, size and types of development to whichthese apply… Along with an indication of the type, size and tenureof affordable housing required.”

Local policyThis Affordable Housing Strategy update relates to other strategies anddocuments produced by the city council. In particular reference shouldbe made to the:

• Housing Strategy

• Private Sector Housing Strategy• Empty Homes Strategy• Housing Planning Guidance• Development Control Implementation Note: Affordable Housing• Core Strategy (currently in development)• Manchester and Salford Pathnder• Growth Points Expression of Interest• Local Area Agreement (LAA)• Sub-regional Multi Area Agreements

Dening affordable housingAffordable housing is social rented housing and intermediate (includinglow cost home ownership) housing for sale or rent, that will beavailable to households who cannot afford to rent or buy housesgenerally available on the open market. This will be calculated on thebasis of the relationship between average household incomes inSalford and market values of appropriate property sizes within

Salford’s housing market. There will be provision for the home toremain at an affordable price for future eligible households, or if ahome ceases to be affordable, any subsidy should generally be recycledfor additional affordable housing provision.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 6/23

6

 

Evidence of need – what has changed?

Salford Housing Needs Survey Assessment 200710 The shortage of affordable housing in the city is clearly evidenced in arecent housing needs assessment which suggests that 674 newaffordable units per annum are required.

Size of affordable housing required The needs assessment analysis shown in the table below indicates thatthere are net shortfalls for one, three and four bedroom propertiesand surpluses of two bedroom homes. The table also suggests that theshortage relative to supply is also greatest for four or more bedroomaccommodation.

Dwelling size Need Supply TOTAL Supply as % of need

1 bedroom 1,857 1,277 580 68.8%

2 bedrooms 995 1,261 -266 126.7%

3 bedrooms 535 395 140 73.8%

4+ bedrooms 219 0 219 0.0%

TOTAL 3,607 2,933 674 81.3%

Source: Salford Housing Needs Assessment – 2007.

10 http://www.salford.gov.uk/housing-research/mshmndsurvey.htm

Tenure of affordable housing requiredThe needs assessment data was analysed to show how much of thehousing need could be met either by intermediate (priced between asocial rent and market entry) and by social rented housing. The studyfound only a very small fraction, about 10% of the housing need can bemet by intermediate housing. This is because those in housing needin Salford are on much lower incomes than the national and regional

averages, and cannot afford anything more than the social renteddwellings. This means that only 67 intermediate housing dwellings arerequired while 607 social rented homes are needed.

Key worker households in SalfordKey workers are often seen as a major focus for affordable housingprovision. Key workers include nurses, teachers, police ofcers andsocial workers. In our last strategy we found theoretical problems forkey workers in our analysis. However, from the analysis carried outin the needs assessment and our own work contacting the personnel

departments of key worker employers, the evidence does not suggestthat key workers are a major issue for Salford at this time. There willbe households within this broad group who have housing problems, butthere is not much evidence that it is a major issue at present. We willcontinue to monitor this in the future.

Social supply reductionsOver the period 2002-2007 over 580 properties on average per annumwere sold under the Right To Buy (RTB) and Right to Acquire (RTA)schemes. Over 90% were sold through the RTB scheme. Over theve-year period 2002/3 to 2006/7 a total of 2,900+ properties was soldby RTB.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 7/23

7

Social lettingsThe number of social lettings in the city has decreased from 4,898 in2002/3 to 3,218 by 2006/7. The turnover rate of social stock has alsodecreased.

Social lettings and turnover – Salford

2002/03 2003/04 2004/05 2005/06 2006/07LA lettings 4054 3883 3163 2821 2831

RSL lettings 844 541 717 664 387

Total lettings 4898 4424 3880 3485 3218

Total social stock 35042 34019 32585 31814 32252

Turnover Rate 14.0 13.0 11.9 11.0 10Source: HSSA.

The fall in lettings is even greater than the fall in stock over thefour-year period. A consequence of this is the fall in social stock ismagnied even further than right to buy gures would suggest.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 8/23

8

Social housing register demandThe table below shows the numbers of households on the housingregister.

2000 2001 2002 2003 2004 2005 2006 2007

Households 3,204 6,351 3,668 8,026 8,644 11,216 12,074 9269

Source: HSSA

In 2002/03 4,054 dwellings were let by New Prospect Housing Limited,however in 2006/07 only 2,831 dwellings were let. This represents a30.2% (1223 dwellings) reduction in the number of dwellings let. Thenumber of social housing dwellings let, including local authority andRSL properties in the area, also fell by 34.3%, from 4,898 to 3,218properties over the same period.

 

Source: HIP and SAFFRON

The major reason for these dramatic changes in turnover and theincrease in the housing register is considered to be the increase inhouse prices, which occurred at the same time. This has reduced theopportunity for both existing tenants and new households to move intoowner-occupation.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 9/23

9

The cost of housingIncreased demand for owner occupation has increased property valuesacross the two cities over the past seven years (2001-2007). The risein house values has exceeded rises in incomes. The effect of this is tomake access to owner occupation unaffordable for an increasingproportion of the population.

Mean and median house price sales (2000-2007)

Median Mean

2000 £48,000 £57,954

2001 £48,000 £59,941

2002 £56,995 £72,576

2003 £76,000 £89,598

2004 £95,000 £114,127

2005 £109,000 £126,319

2006 £118,000 £133,6922007 £130000 £138539

 

The scale of change has been dramatic. The cost of buying a homeputs purchase beyond the means of many households who aspire toowner occupation.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 10/23

10In the plan we can see house priceto income (median) ratios forSalford for 2007. Using individualincome data we can see that noareas have house prices at a levelbelow ve times median income.This suggests that there is now aserious affordability problem inevery ward of the city.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 11/23

11

SummaryThe 2007 Housing Needs Assessment has provided a breakdown offuture affordable housing requirements, using the recommendedCommunities and Local Government (CLG) model. In Salford, theprojected net annual shortfall is 674 affordable homes. 4+ bedproperties are in the greatest need, and in areas around the centre andto the north of Salford.

The growing problem of unaffordable housing has seen demand forsocial housing increase, with the number of households on the socialwaiting list increasing by 7.2% (from 8,644 in 2000 to ,9269 in 2007).The volume of affordable social stock supply has decreased every yearfrom 2001 to 2007. By 2007, Salford’s affordable housing supply fell to36,552 (a fall of 9.8% from 2000).

Housing turnover in the city has fallen from 14% to 11%. The types andsize of property let in the social sector has also changed. Fewer threeplus bedroom properties and houses are becoming available for

re-letting. In other words families in three plus bedroom houses arestaying put.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 12/23

12Targets for affordable housing

Overall targetSalford’s Housing Needs Assessment found a signicant level ofaffordable housing need in the city. Paragraph 12.6, page 81 states that“The policy suggestion emerging from this analysis is a 30% target [foraffordable housing] across the city. This is a maximum justiable by the

evidence. The political process may decide on a lower target and thatis perfectly appropriate: external consultants can only suggest what ispossible, and it is for the processes of the local authority to decide whattarget to set in practice.”

Currently through the planning system the city council seeks 20%affordable housing in new developments, as set out in the HousingPlanning Guidance and claried in the Affordable Housing DevelopmentControl Implementation Note. The target has been set at 20% as it isfelt that a higher gure would be unrealistic given current developmentcosts and sales prices within the city, and that the council also seeksother contributions from developers alongside affordable housing (suchas for public realm, climate change, construction training etc).

Although it is intended that the headline 20% requirement shouldremain as the target, the issue over whether this should be increasedto 30% in line with the maximum justied by the evidence in thehousing needs assessment is a matter that will be explored throughthe development of the Core Strategy, and subject to independentexamination through that process.

As set out below there are other delivery mechanisms that will deliveradditional affordable housing to that through the planning system.

The proportions of social and intermediate housingPPS3 now formally requires that councils make a distinction betweenthe levels of social and intermediate housing required. Unfortunatelymost intermediate products such as shared ownership tend to be at thetop end of the affordability range. Such intermediate housing at the top

end of the intermediate range does not help many households in need.The evidence from the needs assessment is that only a smallfraction (10%) of the housing need could be met by intermediatehousing. Regard will be had to this in determining the most appropriatetenure of affordable housing in new developments.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 13/23

13

Securing affordable housing - deliverymechanisms

As we have seen there is signicant affordable need in the city, andthe Strategic Housing Partnership (SHP) will need to use a mixture ofdelivery mechanisms to increase the numbers of affordable housing

provided. These are set out below:

Growth and regenerationAGMA has set out plans to increasing housing supply across GreaterManchester by over 10,000 new houses per year from 2008-2016.Initial growth is planned for Salford, Manchester, Bolton and Trafford.This proposed growth level is 20% above the levels in draft RSS for thecore of the city region.

The city region needs to improve the quality and mix of its housing

offer, rather than just increase the quantity. This is because providingaccessible and appropriate housing at all levels of the market isfundamental to creating places where people want to live, and thus todelivering thriving and sustainable mixed communities.

RSS (pa) NGP (pa) % increase (pa)

Manchester 3500 4200 20%

Salford 1600 1920 20%

Trafford 578 694 20%Bolton 578 694 20%

Other districts 3367 Min 3367* TBC

GM total 9623 10875 Min 13%*

* these gures are to be conrmed.

The growth points agenda is complementary to, but not replacing, the

work of the Manchester Salford Pathnders. Their work is essential tounderpin current vulnerable markets and enable market condence togrow. Without this support, those places and communities will be leftbehind once again, and the objective of mixed and sustainablecommunities will be undeliverable in the places that need it most.

By increasing the total number of homes being built in Salford weshould increase the number of affordable homes available.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 14/23

14

Affordable housing and the planning systemHousing Planning GuidanceIn December 2006 the city council adopted Housing Planning Guidance.

The key objectives of the guidance are to:

Ensure that the mix of new housing helps to build sustainable1.

communities.Ensure that the needs of all households are met.2.To secure more sustainable patterns of development.3.

There are specic policies on affordable housing in the guidance, andthese support UDP Policy H4 (Affordable Housing) which states that: “In areas where there is a demonstrable lack of affordable housing tomeet local needs, developers will be required, by negotiation with thecity council, to provide an element of affordable housing, ofappropriate types, on all residential sites over one hectare, irrespective

of the number of dwellings, or in housing developments of 25 or moredwellings”

The policies in the Housing Planning Guidance:Set out the proportion of affordable housing to be sought in•developments above the set threshold (20%).Require the provision of affordable housing to be on-site, with off site•and commuted sums provision acceptable in particularcircumstances.

Indicate that where there are relevant material considerations a•lower proportion of affordable housing may be accepted.

Dene suitable affordable housing provision as social rented•housing; shared ownership; shared equity; and / or discountedmarket housing (in limited circumstances).Require affordable housing to be integrated into the rest of the•development.State that the receipts from stair-casing from intermediate•dwellings should be recycled into further affordable housingprovision.

Progress to dateThe requirements of the Housing Planning Guidance for affordablehousing have been in place since December 2006, and the city councilhave been successful in negotiating the provision of affordablehousing within particular developments. However there is an inevitabledelay between securing affordable housing in proposed developmentsand its effects being seen in full (in terms of the housing actually beingdeveloped), because of the time between applications being approvedand planning permissions being implemented. It is likely therefore thatschemes where an element of affordable housing has already beensecured will be delivered in the short to medium term.

In negotiating the provision of affordable housing, the council givesconsideration to the cost of providing affordable housing in terms of theimpact on the viability of schemes. Where a developer considers thatthis should mean that a lower proportion of affordable housing shouldbe provided the city council have held ‘open book’ discussions with thedeveloper to maximise the level of affordable housing, whilst having

regard to the impact on viability.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 15/23

15

Development control implementation note,affordable housingIn order to clarify the policies in the Housing Planning Guidance thecity council have produced an Affordable Housing Implementation Notewhich seeks to provide clarity to all those involved in the delivery ofaffordable housing through the planning system. In particular advice isprovided in relation to:

The type, size and tenure of the affordable housing required.•The level of discount normally required by social housing providers•to secure their involvement in schemes.Where material considerations indicate that a lower proportion of•affordable housing may be acceptable.The pre application and planning application process.•

It is considered that the implementation note will ensure that thenegotiation of affordable housing provision in new developments will beundertaken in a consistent and transparent manner, and further

ensure delivery of new affordable units.

RSL’s and accessing alternative fundingIn order to help deliver affordable housing and maximise the benet ofthe HMR Pathnder initiative, Salford utilises a lead and supportRegistered Social Landlord (RSL) approach which is currently underreview.

This approach uses RSLs working in selected areas to deliver strategic

housing priorities funded from a range of initiatives and opportunities.

For instance, Salford has submitted a National Affordable HousingProgramme 08-11 (NAHP) bid of 380 units to the Housing Corporation.This builds on previous successes of 04-06 and 06-08 programmeswhich delivered 421 homes and supports the work of the HMRPathnder.

Other funding opportunities and initiatives are also sought anddelivered through the lead and support approach. These opportunitiesarise through planning gain and use of RSLs' Recycled Capital GrantFund (RCGF). The involvement and engagement of lead and supportRSLs is facilitated through Housing Strategy and Partnerships teamand RSL liaison meetings; engagement between Planning,Development Control and Housing Strategy and Policy team; andthrough the SSHP.

Salford City Council not only works in partnership through the

Salford Strategy Housing Partnership, but also with Manchester CityCouncil, their SSHP and the Manchester / Salford Housing Pathnder.Both councils also work closely with other councils in the sub regionthrough AGMA (Association of Greater Manchester Authorities). As aresult Manchester and Salford have led an AGMA bid to thegovernment for growth point.

Although there have been successes, the SSHP is seeking to improvethe delivery of affordable housing. This includes exploiting newopportunities, establishing new policy tools, sharing knowledge and

best practice, maximising private sector funding opportunities andensuring best value. This desire is shown by the development of thisdocument, but also by the review of the lead and supportarrangements being undertaken in 2008.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 16/23

16

Empty properties Historically Salford has experiencedhigh levels empty homes (homes thathave been empty for six months orlonger) in the private sector. However,the number of empty homes hasdecreased from 5142 (7.9% of all

housing stock) in 2002 to 2041 (3.6%)in 2007.

The city council is currently workingtoward acquiring and bringing emptyproperties back into use andreducing anti-social behaviour(Local Public Service Agreement 2(LPSA 2). By achieving these targets,Salford City Council will receive an

additional grant, a proportion of whichcould greatly enhance our resourcesfor tackling empty properties in thefuture. It is anticipated this funding will enable the Housing Marketteam to undertake further initiatives to bring empty properties backinto use across the city which will include bringing between six to 12affordable properties back into use.

Potential delivery of affordable housingThe table and chart below illustrates the levels of affordable housingdelivered since 2004 and an estimate of what is likely to be producedthrough the various mechanisms available.

2004/06 2006/08 2008/11

AHP 149 260 345

FTBI 163

Section 106 258

Empty properties 6

RCGF 40 TBC

Total 149 300 772 

The table above show that historically the city council have securedaffordable housing through the National Affordable Housingprogramme. However it is likely that over 2008/11 affordable propertieswill be secured through a host of other additional mechanisms. Of mostsignicance is that the planning system will start to deliver newaffordable properties.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 17/23

17

MSP affordability strategy 

The focus for pathnder policies is how to apply the overall strategiesso that they will help achieve pathnder objectives and support thoseof the LAs. There are four main practical implementation issues forpathnder:

The practical interpretation of the “Neighbourhood of Choice”• concept into decisions about the desirable amounts and mix ofaffordable housing on each particular site, within the framework ofthe LA policies.Developing pathnder programmes to make best use of existing•housing stock to meet the demand for affordable housing and tostrengthen community sustainability.How the pathnder can support the successful delivery of•affordable home ownership products at the recommended salesprice and ensure that these properties are targeted appropriately.

Developing funding packages that will support the delivery of the• preferred amounts of affordable housing, in particular consideringthe potential role of the Housing Corporation Affordable HousingProgramme.

It is intended that the pathnder strategy will be adopted in June 2008.

The MSP is an example of joint working with Manchester and ofdeveloping a sub-regional consensus towards our approach toaffordable housing. 

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 18/23

18

Allocations policy for new intermediatehousing achieved through the planningsystem.

The objectives of the Affordable Housing Allocations Policy are to:Ensure fair access into affordable housing•

Offer choice•Promote access to affordable housing products and providers•Ensure a fair eligibility criteria•Ensure terms and conditions that safeguard the interests of•affordable homes future provisionRespond to local needs and local connections both now and in the•futureHelp those applicants who are least able to afford open market•valuesAssist the council in making best use of its rented stock•

Help reduce empty properties and bring them back into use•Maximise opportunities for ongoing investment and re-cycling•assetsReect national legislation, whilst also being innovative in its•approach to providing forms of assistanceReect the views of providers and other stakeholders and work on•an evidence base to target need

Prospective applicants for housing within the city are being providedwith information on affordable housing provision at the time of

registration and they are sign posted to providers.

The allocations policy will be published in 2008

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 19/23

19

MonitoringThe council is required to monitor affordable housing delivery forgovernment statistical returns and to ensure that delivery remains inline with the strategic priorities contained within regional strategiesand the council’s Housing Strategy. Housing completions andcommuted sum contributions will be monitored in line with existing

policies and procedures to ensure that all units are delivered inaccordance with Section 106 agreements; comply with planningcondition requirements and ensure that the standard of affordablehousing is acceptable.

We currently have systems in place to accurately monitor newresidential development within the city on an annual basis, usinginformation from planning permissions, building control completionnotices and site visits. It is our intention to extend this monitoring toinclude where affordable accommodation has been secured and

implemented, plus increase the frequency in which the data can bemade available. It is intended that the pilot systems will start tobecome live from April'08 (being supplemented during 2008 by manualassessments of affordability as required), but with a longer term viewthat the monitoring mechanisms will be fully automatic by April 2009.

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 20/23

20

Conclusion

Since the Affordable Housing Strategy was developed in 2006 theaffordable housing situation has continued to worsen. The HousingNeeds Assessment conducted in 2007 found an annual shortfall of

affordable housing of 674 dwellings. This can largely only be metthrough affordable rented properties.

The growing problem of unaffordable housing has seen demand forsocial housing increase while the volume of affordable social stock hasdecreased every year from 2001 to 2007. The social supply availableto meet housing need has therefore been shrinking year on year. Thisproblem has been amplied by a reduction of turnover in the socialsector particularly in three and four bedroom homes.

Clearly the problem of affordable housing cannot be met through justone approach. Instead we must use a complimentary suite ofapproaches. These include increasing overall housing supply throughgrowth and regeneration: utilising the planning system; utilising emptyproperties and encouraging Housing Associations to develop in the city.

 

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 21/23

21

AppendicesAppendix 1Detailed needs assessment table for Salford

Stage and step in calculation Notes Output

STAGE 1: CURRENT NEED (Gross)

1.1 Current occupiers of affordable housing in need1.2 Households from other tenures in need1.3 Households without self-contained accommodation1.4 Equals total current housing need (gross) 1.1+1.2+1.3

2,4681,08838

3,594

STAGE 2: AVAILABLE STOCK TO OFFSET NEED2.1 Current occupiers of affordable housing in need2.2 Surplus stock2.3 Committed supply of new affordable units2.4 Units to be taken out of management2.5 Total stock available to meet current need

2.6 Total current unmet housing need2.7 Annual quota for the reduction of current need2.8 Equals annual requirement of units to reduce current need

2.1+2.2+2.3-2.4

1.4–2.5

2.6×2.7

2,468

4282,500396

3,19820%640

STAGE 3: NEWLY ARISING NEED3.1 New household formation (gross per year)3.2 Proportion of new households unable to buy or rent in the market3.3 Existing households falling into need3.4 Total newly arising housing need (gross per year) (3.1×3.2)+3.3

2,41456.0%1,5362,887

STAGE 4: FUTURE SUPPLY OF AFFORDABLE UNITS4.1 Annual supply of social re-lets (net)

4.2 Annual supply of intermediate housing available for re-let or resale at below market price/rent4.3 Equals annual supply of affordable units 4.1+4.2

2,814

392,853

NET SHORTFALL OR SURPLUS OF AFFORDABLE UNITSOverall shortfall or surplus per annum 2.8+3.4–4.3 674

 Source: Salford Strategic Housing Market Assessment – 2007. The order of topics in this table is different from the CLG Practice Guidance but thetotal content is the same. 

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 22/23

22 Affordable Housing Strategy Update 2008 Action PlanPriorities foraction

Actions Responsibility Resources Timescale Service improvement Monitoringarrangements

More affordablehomes to buy orrent

Establish indicators tomonitor affordable housingsupply.

Spatial Planning Ofcer time April 2008 basicsystem

Automated byApril 2009

Monitoring system foraffordable housing which willensure new affordable housing

is helping to meet local need.

Annual monitoring

Ensure negotiations withdevelopers are consistentwith the Affordable HousingImplementation Note

Urban VisionSpatial PlanningHousing StrategyandPartnerships.

To be providedthrough S106.AgreementsImplementationnote

Continuous

May 2008

Increase the number of unitsprovided through the planningsystem. Providing choice forpeople who cannot afford to buyon the open market

Annual monitoring

Develop Nominations /allocations policy foraffordable housingdeveloped for sale

CommunityDevelopment

Ofcer time July 2008 Provide a fair and transparentmechanism to decide whichhouseholds who are unable toafford to buy on the open marketshould be nominated foraffordable homes.

Annual monitoring

Analyse affordable housingproducts being used anddevelop best practice

Strategy andPartnershipsSalix

Ofcer time 2009 Understand whichaffordable products provide bestvalue to customers, theHousing Partnership and topartners.

Ensure delivery of 2008/11NAHP bids, and develop ave year NAHP prospectus

for 2011/16.

AssistantDirector(Housing Strategy)

NAHP bids£17.8m total for2008/11)

Ofcer time(S&P team, HsgAssoc)

2008-11 380 units delivered by 2011giving residents a greater choiceof new affordable homes for

rent

Quarterly HousingAssociation progressmeetings

Quarterly reports toHousing LeadMember

Customer surveys onaccess tohousing

 

7/30/2019 Affordable Housing Strategy

http://slidepdf.com/reader/full/affordable-housing-strategy 23/23

23

Strategy and Partnerships TeamSustainable Regeneration DirectorateCivic CentreChorley RoadSwinton

M27 5BY

0161 922 8707http://www.salford.gov.uk/affordable-housing-strategy.htm