Media Release
For immediate release
Labour’s national housing spokesman has singled out Exeter for praise
for its record of delivering affordable housing, but warns the city’s
job will be harder because of the latest policies from Government.
During
a visit to Exeter tomorrow, John Healey will highlight the fact that
Exeter has built more affordable homes for rent than any other council
in the South West, but he’ll warn the shift in Government policy
towards homes to buy for £250,000 will make the city’s housing
affordability crisis worse. He will also criticise Government plans to
force housing associations to sell off their stock.
Mr
Healey said: “Exeter’s Labour Council has an excellent record in
building new affordable rented for local people,
despite the actions of this Conservative government which are making it
much tougher to provide the mix of homes that Exeter needs. The best
way to make sure more affordable homes to rent and buy are built in
Exeter is to back the Labour council and Labour
councillors this May.”
Since
2010, Exeter City Council has provided more new council homes and other
social housing for rent than
any other local authorities in the South West. However, the Government
plans to take £8m from the fund Exeter City Council uses to build these
new homes and maintain existing ones council homes in order to subsidise
so-called starter homes to buy which will
be unaffordable for most local people.
Exeter Labour’s Housing spokeperson, Rob Hannaford said: “The Tories’
new Housing & Planning Bill shows they have no long-term plan to
address the housing crisis.
"In
Parliament, the Tories voted down Labour’s plans to protect affordable
homes to rent
and buy. Instead they want to to rebrand affordable housing so-called
starter home, costing £250,000 - out of reach for young people and
families on ordinary incomes here in Exeter. What’s more, these starter
homes will be able able to be sold on after just
5 years - and sold on the open market. That’s an unacceptable subsidy
for those that can afford the deposits and mortage repayments.
And these
plans for starter homes will affect Exeter City Council’s robust policy
on delivery of affordable housing.
"Since
the adoption of the Core Strategy in February 2012, Exeter City Council
has a requirement for all developments over 10 properties have to
deliver 35% affordable housing for rent,” Rob Hannaford continued.
“This is a robust policy that is vigorously enforced
by ECC’s Housing Enabling team and ensures that affordable housing,
mainly for social rent (ie rent at 50% of market rent) is made available
to either ECC and/or local local associations to tackle the social
housing waiting list. "Over 600 affrodable homes
have been delivered in the past 5 years, and there are more than 1800
currently being built or in the pipeline.
"We now need to look to new models of housing to address the needs of
Exeter’s residents. We are looking at new ways to provide affordable
homes outside the current model of delivery, including co- operative
housing and self-build housing, so that they are
not subject to threats from central government. "There is also need to
look to private renting in Exeter, and are are working with partners to
set up an ethical lettings agency.”
Notes for editors
[1]
Since 2001, most rents for social housing have been set based on a
formula set by Government. The formula creates a “formula” rent for each
property,
which is worked out based on a combination of the relative value of the
property, relative local earnings levels and the size of the property.
Landlords are expected to move the actual rent of a property to formula
rent, over time. Rents set based on the formula
are known as “social rents”. DCLG: Rents for Social Housing from 2015-16 - Consultation [October 2013]
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/254548/13-10-31_Consultation_-__C_.pdf
[2] Specification On-line: Passivhaus Specification - Exeter City Council
http://specificationonline.co.uk/news-article/9208/
[3] Liam Kelly: Social housing rents to fall by 1% a year, chancellor announces
[Guardian, 08 July 2015]
http://www.theguardian.com/housing-network/2015/jul/08/social-housing-rent-fall-chancellor-budget
[4] News Desk: Exeter City Council faces losing £8m as Government rips up social rent agreement
[The Exeter Daily, 04 August 2015]
http://www.theexeterdaily.co.uk/news/business-daily-local-news/exeter-city-council-faces-losing-%C2%A38m-government-rips-social-rent
[5] John Healey MP: Tories are failing – we need Labour councils to stand up for the homes we need
[Politics Home, 11 April 2016]
https://www.politicshome.com/news/uk/communities/housing/opinion/house-commons/73630/john-healey-mp-tories-are-failing-–-we-need