Published: 15th Feb 2018

The chancellor has pledged to build 300,000 homes a year by the mid-2020s. Richard Cook of the Pegasus Group assesses the viability of making a third of these affordable As a rule of thumb, local authorities generally require housing schemes above a certain size to deliver between 30% and 40% affordable dwellings. Apply this to the government’s target and you’re looking at a requirement of around 100,000 affordable homes per year. A question to ask here is: what exactly constitutes ‘affordable’? The National Planning Policy Framework defines it as: Social rented housing: owned by local authorities and private registered providers. Affordable rented housing: rent is no more than 80% of local market rent. Intermediate housing: homes for sale or rent at a cost above social rent, but below market levels. Analysis by the Office for National Statistics shows that between 1997 and 2016 house prices in England and Wales increased … (To read the full article, subscribe below)