Agenda item

Update on the Council’s delivery of Affordable Homes

This report provides an update on the Council’s delivery of affordable homes and its commitment made in the Building Homes and Communities Strategy in July 2019 to build 1,800 homes over the next 10 years.

 

It also outlines how the development programme embeds coproduction with local residents at the heart of development activities, as well as how the development team are playing their part in helping the Council achieve its ambitious net-zero carbon targets.

Minutes:

Matt Rumble – (Strategic Head for Regeneration and Development), introduced the item which provided an update on the Council’s delivery of affordable homes. It was noted that until relatively recently, the Council’s ability to deliver housing was restricted by the government caps on the way the Council was able to borrow to deliver new homes. In late 2018, central government announced the scrapping of the HRA debt cap, which meant councils had greater freedoms to borrow to invest in existing and new housing stock.

 

Matt Rumble provided a short presentation. This covered: the Building Homes and Communities Strategy 2019 and its objectives, and the development and approval / financing process. Information was provided on the Defend Council Homes Policy, the Partnership Programme, and: the Education City programme, the White City Central project, the operational net zero carbon construction elements and Spring Vale Development.

 

Councillor Adronie Alford asked officers to provide further details on the funding / costs of the development programme. In response, Matt Rumble confirmed the total costs were £500 million. He explained that the Council borrowed from the Housing Revenue Account (HRA), how these mechanisms worked; and how in the long term, the rent generated from the new homes paid off the remaining debt. It was also noted that the Council also bid for grant money from the GLA to offset the cost of delivering affordable homes and used Right to Buy money in the same way.

 

Councillor Adronie Alford asked officers to define what a Youth Zone was and provide details on its size and sustainability. In response, Matt Rumble confirmed this was a designated space for young people to engage in positive activities (incorporating a multi-use games sports area – MUGA - on the roof) with various activity rooms, with the total floor space mirroring the MUGA. In relation to its use / viability, Matt Rumble explained that On Side – the provider – needed to produce a business plan which was then signed off by the Council’s Education’s Commissioning Team.

 

Councillor Adronie Alford asked for clarification on the total number of homes for the Hartopp and Lannoy site. In response, Matt Rumble confirmed this was for 134 homes.

 

Councillor Adronie Alford asked for further details to be provided on the breakdown of house sizes within the projected 134 homes and also the garage site. Matt Rumble explained that officers determined the housing needs of the borough from the Housing Register and sought to create a mix within new developments to meet this need. In relation  to the garage site, he explained that officers were about to start a consultation with residents about a small development on that site.

 

The Chair, Councillor Rory Vaughan, welcomed that there was a significant amount of genuinely affordable housing being delivered by the programmes which had been highlighted. He asked if more detail could be provided on how the climate emergency had been factored into new homes. Matt Rumble confirmed the Council was designing new buildings (net carbon zero) which far exceeded the current specifications laid down by the Major of London, which meant that there would be a target of reducing carbon by 45% in all new developments.  In relation to the Council’s Climate and Ecology Strategy, Matt Rumble confirmed that officers would be looking at 3 example path finder projects and to design these (using new and emerging technologies) to operational net zero carbon which would progress overall carbon reduction to between 80% and 85% on these developments. Matt Rumble confirmed the Hartopp and Lannoy would become the exemplar scheme across London using a net zero carbon approach.

 

Councillor Ann Rosenberg stated she was impressed by the building projects which had been mentioned  but asked what the impact would be on the waiting list for Council accommodation. Matt Rumble explained that over the next 8 to 10 years, the Council aspired to deliver approximately 1800 new homes. Of these, approximately 1100 were designated to be affordable. He confirmed that the current Housing Register, numbered about 2800, but this would fluctuate, and so it was clear that the affordable housing programme would have a significant impact.

 

Councillor Lisa Homan acknowledged that a significant proportion of this work was met by Councillor Andrew Jones’s portfolio, but remarked she was pleased that in the last few years, the Authority had started to focus on delivering more Council homes. Referencing local lettings plans, Councillor Lisa Homan explained this was something the Administration had been keen to introduce, as it meant the people in most need were given the first opportunity to bid. She remarked that the supply of affordable homes which were in the pipeline would go a long way to help ease the register. Concluding her remarks, Councillor Lisa Homan commented on Hartopp and Lannoy and cited it as good example to turning a very difficult situation a few years ago into a positive one which embraced the themes which had been discussed: affordability, new technology, defend council homes and the importance of resident engagement.

 

The Chair explained he was encouraged that so much development was in the pipeline to address the need for affordable homes. He was glad that sustainability, the response to the climate emergency and resident engagement and involvement had been incorporated into the project planning. He confirmed the Committee would keep a watching brief on the supply of affordable homes and he looked forward to seeing the delivery of new homes soon.

 

RESOLVED

 

That the Committee reviewed and commented on the report.

 

Supporting documents: