You are viewing 1 of your 1 free articles
First Homes pilot to be part of next Affordable Homes Programme
A 1,500-home pilot of the government’s new First Homes scheme will be launched as part of the next Affordable Homes Programme (AHP).
The government has announced plans to pilot the scheme, which will see homes sold to first-time buyers at a 30% discount, as part of a raft of measures to get Britain building following the COVID-19 crisis.
Housing secretary Robert Jenrick first announced plans to introduce the discounts in February this year.
According to documents released at the time, the discounts will be funded by Section 106 contributions and will remain in perpetuity, meaning they will apply to future sales.
READ MORE
The plans have attracted criticism from many in the sector, who fear the scheme will impact the number of affordable homes delivered through Section 106.
In response to the government’s consultation on the policy, G15 members said they will deliver up to 3,600 fewer affordable homes if the government pushes ahead with its plans.
The government said the pilot will be introduced as part of the next AHP, which is due to launch in 2021.
It comes as prime minister Boris Johnson announced a number of measures to get the country building after the coronavirus lockdown, including a “radical” overhaul of the planning system.
As part of the announcements, the government appeared to cut the amount of grant available for the building of affordable homes by extending the duration of the next AHP from five to eight years, effectively reducing grant by more than a third.
