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Councils may go back to building houses

Tuesday, 17th June 2014.

A crisis in affordable housing could see two West Suffolk councils make the commercial decision to start buying and building homes.

Of the 18,000 new homes to be built in Forest Heath and St Edmundsbury by 2031, 13,585 would need to be affordable housing.

This is in order to tackle an existing backlog as well as future predicted demand. While some 8,000 of these may be met through existing planning and housing policies – that still leaves a shortfall of more than 5,500 to be met through new build or better use of existing properties.

The backlog is due to a number of factors such as the recession - which drastically affected the number of new homes being delivered – jobs cuts, pay freezes and increased living costs – all of which have added to the demand for affordable housing.

In order to try to meet the backlog and predicted future demand, the two councils, working together as West Suffolk, are proposing to deliver 455 affordable homes a year – nearly 200 more than they are achieving currently.

“The challenges are massive,” said Cllr Rona Burt, Forest Heath’s cabinet member for planning, housing and transport. “What is clear is that relying purely on housing developers to meet our future housing needs is no longer the answer.

“In the commercial world you have to make sure your supply is strong enough to meet your demand. That is why we are looking into setting up our own housing company, to buy and rent out properties, and to invest in new build affordable housing.”

The innovative approach is outlined in the councils’ Draft West Suffolk Housing Strategy, which will be considered by St Edmundsbury’s cabinet next week.

Cllr Anne Gower, St Edmundsbury’s cabinet member for housing, said: “In order to help deliver the huge numbers of affordable homes that are needed, we are going to have to act more commercially.

“We need to be more innovative, to encourage people with empty properties to bring them back onto the market, we need to look at the opportunities of working with the private rented sector, and we need to be creative in how we borrow and invest to build homes.

“Everything hinges on being able to provide homes for our future workers and their families. Without those homes our future economic development will be constrained.”

A three-week long consultation over the draft West Suffolk Housing Strategy will begin on July 16.

Haverhill Online News

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