18 October 2024
Reforms to the National Planning Policy Framework (NPPF) must enable rural communities to secure more genuinely affordable homes
Over the summer, the new Government consulted on a wide range of revisions to planning policy proposed to speed up development and drive economic growth. This included placing requirements on local authorities to plan for more housing including affordable homes, freeing up criteria used to identify land for development, as well as measures to support clean energy and deliver major infrastructure projects. 106 consultation questions were asked in total.
Drawing on the front-line experience of the ACRE Network, we focused on proposals to deliver more genuinely affordable homes in the countryside. This is because it is one of the biggest problems facing rural communities:
- In 2022, the most affordable homes were 8.8 times average lower quartile earnings in rural areas compared with 7.6 times in urban areas (excluding London)
- Housing waiting lists in rural areas grew by 20% between 2020 and 2023
- In popular coastal areas such as Cornwall, Devon and Norfolk, there are communities where more than 1 in 10 properties are second or holiday homes
These pressures put significant strain on the finances of lower income households, and ultimately can push people out of communities further eroding the viability of local services and businesses.
Our recommendations
ACRE’s response to the NPPF consultation broadly welcomed the government’s determination to reform planning policy to deliver more homes. But whilst laudable, we highlighted the following areas requiring more attention to make sure rural communities don’t miss out on development opportunities.
1. Genuine ‘affordability’
Government must define what is meant by ‘affordable’ housing and use this definition consistently throughout the housing and planning system. The definition must relate to both lower quartile housing & incomes and ensure that no household must spend more than 33% of its income to obtain decent housing.
2. Control of second homes and short term lets
The NPPF consultation was silent on the registration and control of both second homes and properties used for short term let. We encourage Government to give powers to local planning authorities to control these uses wherever they have inflated housing costs to the point where they are no longer ‘affordable’ to local people.
3. Planning for delivery of new rural affordable housing
A particular concern that has come to the fore in recent years has been the pressure that second homes and holiday lets have put on some rural and coastal communities. Areas popular with tourists such as Devon, Cornwall, Cumbria and North Norfolk have witnessed property prices soar whilst the availability of properties to rent on a long-term basis has diminished. This has led to a situation where people are unable to live locally near to their jobs, their family and social networks. This in turn has made it harder for local businesses and public services to recruit employees.
We are calling on the next government to provide local authorities with legal powers to ensure a specified proportion of domestic properties are available in perpetuity for people who live and work locally. It would apply where market pressures and restrictions on new development have inflated house prices such that they threaten community life and local businesses.
4. Genuinely sustainable development
Local planning authorities are required to operate a presumption in favour of granting planning permission to applications for ‘sustainable developments’ where their local plan does not have sufficient land earmarked for housing.
The definition of what is a ‘sustainable development’ for this purpose should assess the role it has in making the whole community in which it is located more sustainable e.g. the contribution it makes to retaining viable, long term, local services and employment as well as its contribution to ecological measures.
Government should invest Neighbourhood Plans. These locally-led plans have a key role in assisting every community to plan for the needs of current and future residents, economy and environment.
It is essential that truly affordable housing, supported by adequate local services, are available in rural areas that meet local need and help to support thriving local communities. Without it, rural areas will not be able to contribute to future growth and fulfil their potential.
