The tables were turned in social housing development this week. Two separate moves have pushed housing associations up the billing from bit part to starring role. Firstly, they will take the lead in the building of 1800 homes funded under a new English Partnerships/Housing Corporation collaboration (page 15). Secondly, the corporation has put its foot down on using its money to subsidise planning gain agreements (page 14). The current arrangements involve councils and housebuilders agreeing how many affordable homes should be built in exchange for planning permission. They then look for a housing association 鈥� along with

its corporation dowry 鈥� to run them, usually after some cut-throat bidding. Under this arrangement, housebuilders knew how much grant associations would get, leaving them 鈥� and hence the government 鈥� with no bargaining position. This was understandably unpopular: the Peabody Trust has already said that it will not bid to build housing under traditional planning gain deals, calling it 鈥渁 waste of time and resources鈥�.

Now, however, the corporation says that housebuilders can only expect grant if they bring housing associatons in at the start and do long-term partnering deals with them. And it is to scrap the total cost indicators, so housing assocations cards are well and truly hidden.

Meawhile, the review of section 106 itself continues. The Treasury is investigating whether there are better tools to lever in money from the private sector.

Associations have moved up the billing from bit part to starring role

Whatever the outcome the private sector is unlikely to escape lightly.

But the Housing Corporation鈥檚 drift is certain: buy in bulk and get better value for money. The old system landed associations with poorly planned and designed homes. Can they now live up to top billing?

London falling
No could really have put their hand on their heart and claimed that the government鈥檚 process for sharing up maintenance and management grant was fair. But that still doesn鈥檛 make it any less painful if your borough is among the losers under the proposed new regime

Source

Housing Today