Planning and affordable housing for Build to Rent – LGA consultation response

Councils are supportive of Build to Rent and recognise the important role that it can play in delivering much needed high quality market rented housing.

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Key messages

  • Councils are supportive of Build to Rent and recognise the important role that it can play in delivering much needed high quality market rented housing.
  • There are already numerous examples of successful arrangements between councils and developers, as outlined in the consultation paper. Learning from these early adopters can be used to support other developments. Central government and the LGA could play a role in sharing this knowledge to provide support to councils and developers.
  • Councils need local flexibility to support the development of the Build to Rent market so that it can be aligned with local housing priorities. The potential for Build to Rent will vary across different housing markets, and appetite for development will be strongest in areas where demand, land values and returns from rental income make it economically viable. Rather than changing the National Planning Policy Framework, government should allow councils to adopt a flexible approach by using guidance to support the development of this sector.
  • It is important that any definition of affordable housing reflects the realities of what households can afford locally and that local planning authorities can plan for the mix of new housing that meets community need. Our view is that councils through their Local Plans should determine any proportion of Affordable Rented Homes that are required, taking into account local housing need as identified in their Strategic Housing Market Assessments (SHMAs) and site viability.
  • The transitional period for the introduction of any policies proposed in this consultation should be aligned with other proposed changes to affordable housing and the wider changes in the National Planning Policy Framework, with an appropriate lead-in period.
  • The government should provide clarity as soon as possible on whether LPAs should be giving consideration to the proposed new affordable housing definition that includes Affordable Private Rent, where schemes are likely to be completed after the six month period/April 2018.

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