Meeting documents

1 THE ISSUE

1.1 On 20^th November 2003, the Council agreed a draft Corporate Plan Framework for 2003-2007. One of the Improvement Priorities agreed as part of this Framework is "increase availability of affordable housing". The Affordable Housing Strategy attached as Appendix A is intended to support and drive the delivery of this improvement priority.

2 RECOMMENDATION

2.1 The Council Executive is asked to adopt the Affordable Housing Strategy attached as Appendix A.

3

FINANCIAL IMPLICATIONS

3.1 The Affordable Housing Strategy seeks agreement of a housing capital investment programme of £4 million in 2004/05 with a commitment to seek to continue this level of investment during the life of the Corporate Plan.

3.2 The Affordable Housing Strategy is intended to support bids for capital funding from external sources including the Government's new Single Housing Investment Pot (SHIP).

4 THE REPORT

4.1 Provision of affordable housing is a priority for Bath & North East Somerset Council (Draft Corporate Plan 2003-2007) and for the residents of Bath & North East Somerset.

4.2 In November 2002, a questionnaire was distributed to members of the Bath & North East Somerset community via the Voice Box panel. 47% of respondents considered affordable decent housing important in making somewhere a good place to live. The same number felt that this was one of the issues that most needed improvement across the area. In both cases, only one issue - a low level of crime - was highlighted by a greater number of respondents.

4.3 Following the transfer of Bath and North East Somerset Council's housing stock to Somer Community Housing Trust in 1999, a programme to deliver 600 new units of affordable housing by March 2005 was established. £18 million of the capital receipt from this transfer was ring-fenced to fund this programme. Despite this ambitious programme, there is still a significant gap between the supply of and need for affordable housing. There are currently 2544 households on the Homeseekers Register with a recognised need for affordable housing.

4.4 In order to afford a home at the lower end of the market in the Midsomer Norton/Radstock, area, which has the lowest property prices in Bath and North East Somerset, an income of between £31,347 (borrowing four times income) and £41,796 (borrowing three times income) would be needed. To purchase a property at the lower end of the market in Bath an income of between £45,766 (outer Bath, borrowing four times income) and £62,569 (inner Bath, borrowing three times income) would be required.

4.5 For the purposes of the Strategy attached as Appendix A, affordable housing is defined as: "The range of both subsidised and market housing that will be available for those households whose income generally denies them the opportunity to purchase or rent houses on the open market as a result of the local relationship between income and market price". This definition also appears in Bath & North East Somerset's Local Plan.

4.6 The Affordable Housing Strategy outlines the need for affordable housing in Bath and North East Somerset referencing where further, more detailed information can be found. The Strategy then goes on to set out Bath and North East Somerset Council's priorities for the delivery of new affordable housing over the next three-years; sets out the key issues impacting on the delivery of affordable housing and the action that will be taking in relation to these key issues; and identifies how the priorities set out in the Strategy will be resourced.

4.7 The Strategy is intended both to co-ordinate and join-up the efforts and resources of Bath and North East Somerset Council and partners in delivering affordable housing and to inform and support future bids for external funding.

4.8 The Affordable Housing Strategy sets out five priority areas for future investment with associated targets. These are:

4.9 Achievement of these targets will see the delivery of 300 new affordable housing units by March 2007.

5 RATIONALE

5.1 The Strategy attached as Appendix A and the priorities for investment contained within it were developed in light of extensive evaluation of and consultation on the options for delivering new affordable housing.

6

OTHER OPTIONS CONSIDERED

6.1 Consideration was given to whether the strategy for delivering affordable housing could be incorporated in another local plan. For example, the Housing Strategy, 2002-2011, or the BE: at home section of BE: Better for Everyone, Bath and North East Somerset's Community Strategy. However, given the amount of information and analysis contained with the Strategy, and the priority given to the delivery of affordable housing by the Council, it was decided that a strategy focusing on the delivery of affordable housing was warranted.

7 CONSULTATION

7.1 The issues paper used as a basis for consultation by the Housing & Community Safety Overview & Scrutiny Panel was developed with the involvement of Bath & North East Somerset's Joint Commissioning Partnership for affordable housing (comprising Council officers, the Council's five Registered Social Landlord preferred partners for the development of new affordable housing, and the Housing Corporation). Also, through two workshops comprising officers from Social & Housing Services, Planning, Economic & Environmental Development, Transport Corporate Projects as well as the Executive Members for Community Safety, Housing & Consumer Services and Sustainability & the Environment.

7.2 Housing & Community Safety Overview & Scrutiny Panel subsequently undertook a review with the purpose of providing input, via public consultation, to the Affordable Housing Strategy. Details of the consultation undertaken by the Panel follow: