Quota proposal for affordable housing

Gordon Berry, The Courier, 12 November 2004

The property hotspot of northeast Fife should be set a larger target than other areas of the region for provision of much-needed affordable housing.

The suggestion could see developers having to allocate up to 45% of homes for affordable housing in projects of 10 units or more in areas where massive increases in price are placing great pressure on first-time buyers.

It is also clear that in some circumstances even commercial developers involved in large business or retail schemes might find themselves having to make financial contributions for housing.

The issues are to be discussed as part of the consultation stage of the draft Fife 20-year structure plan, a document listing several suggestions for future housing provision.

In the suggested affordable housing policy, the council’s head of development services Keith Winter said that across Fife housing sites of 10 units or more will be required to contribute approximately 30% of their capacity.

It has also been suggested, however, that in Cupar this figure should be 40% and in St Andrews it should account for almost half of new housing at 45%. And such homes, it is said, should be fully integrated into new developments and should be indistinguishable from other forms of housing.

In order to achieve mixed and balanced communities, mixed tenure developments will be promoted involving, for example, low cost housing or sale and social rented housing.

The policy intends that, except in 'exceptional circumstances,' affordable housing should be built alongside mainstream housing being offered for sale.

If it is clearly demonstrated that this is not possible, developers will be asked to provide affordable housing elsewhere, or transfer an area of fully serviced land in the same housing area to either Fife Council, or an approved registered social landlord, at 'nil cost.'

“As a last resort, if this is not achievable, developers should make a financial contribution to the provision of affordable housing. The form of the contribution required will be assessed based on development costs and site and market conditions,” states the proposed policy.

The council wants to press for legal agreements that will see affordable housing retained for successive future occupiers of the homes. Other developers, involved in retail or business use, might also find themselves having to contribute towards affordable housing schemes.

Mr Winter said that this could arise through such developments taking place on land that would otherwise have been available for affordable housing. Alternatively, he said, the scale or nature of such developments could create need for housing for low-paid workers to ensure they conform with the principles of sustainability.

In such circumstances the council might require the applicant to contribute towards affordable housing provision. The amount of affordable housing will relate directly to the scale and nature of the development.