Victory over target means more homes
by Hammersmith and Fulham Press Office
05/09/2008
A battle over the policy of relaxing affordable housing targets has been won by Hammersmith and Fulham Council.
The victory frees the way for the borough to increase house building and deliver housing that gets more hard working families and key workers onto the property ladder.
The Government has backed down from a legal challenge by H&F Council against its earlier refusal to allow the authority to change its 65 per cent affordable housing target within its Unitary Development Plan (UDP).
The target was seen as unrealistic in today’s housing market, potentially making many developments unviable. It was also contrary to affordable housing targets laid down in the London Plan.
Earlier this year, Hazel Blears, Secretary of State for Communities and Local Government, announced she was blocking the council’s move and that she would be ‘saving’ the policy in the UDP. However, lawyers for the Secretary of State indicated that they will not be contesting a judicial review by H&F Council against that decision.
Leader of the Council, Cllr Stephen Greenhalgh said, “We passionately believe in making housing affordable to more people - that is why we are planning to build more housing than even the previous Mayor’s own targets over the next ten years. A 65 per cent affordable housing target in today’s uncertain property market and an absolute bar on using employment land for anything else is completely unviable. It could have potentially resulted in 65 per cent of nothing being built.”
Last year the council launched its “open for business” campaign to encourage developers to invest in Hammersmith & Fulham to the benefit of local residents. Hammersmith & Fulham has more than 100 hectares with potential for regeneration. Recently announced schemes at Earls Court and White City follow on from plans being taken forward to redevelop the council’s Town Hall in Hammersmith and the £1.7 billion Westfield shopping development in Shepherds Bush which will open shortly.
It in its UDP the council is planning for 6,500 new homes over ten years - 50 per cent more than the target laid down in the London Plan.
The average price for a home remains over £500,000. With the fourth highest property prices in the country, the aspiration of owning your own home in H&F is out of reach for the majority of people. Only 44 per cent of people own their own home in the borough, compared to 68.7 per cent nationally. The council wants to increase that figure to 50 per cent by 2014 by giving those on low to medium incomes the chance of buying in the borough.
According to a Joseph Rowntree Foundation study on housing affordability, Hammersmith & Fulham is the least affordable area in London in terms of the proportion of younger working households able to buy at lowest quarter house prices.
Cllr Greenhalgh added: “H&F already has a higher percentage of social rented housing than Lambeth, Newham and Haringey. What we don’t have is enough low cost homeownership housing for those working households who want to stay in the borough but are at this moment being priced out. The demand is for low cost home ownership that matches the aspiration of hard working young families to get on to the property ladder. We are in danger of becoming a borough that is a no go zone for people earning between £19,000 and £60,000.
“The decision by the Government not to contest our judicial review is a victory for commonsense in today’s market and a victory that will enable us to respond to our own housing needs and demands by building mixed, sustainable, viable communities that significantly increases the low cost home ownership housing available in the borough.”