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Morning Briefing: new shared ownership rules proposed
The government is considering changes to the shared ownership scheme, social housing construction is on the rise, and all the other housing news today
The government has announced this morning that it is considering a “packet of measures” to get more people on the housing ladder, including changes to the shared ownership scheme.
Under the new rules, people would be able to buy their homes in 1% chunks, rather than the 10% currently required under the scheme.
The Times is reporting that the government is also planning to offer price reductions of up to 20% for first-time buyers purchasing a home in the area where they grew up.
Writing for The Times, housing secretary Robert Jenrick said: “I want young people… to be able to stay in their communities. It’s not right that people on low incomes risk being forced out.”
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The Guardian reports on the reaction to the new rules, which shadow housing minister Sarah Jones has criticised as “tinkering”.
Polly Neate, chief executive of Shelter, said: “Pinning his hopes on yet another complicated housing scheme is a worrying start for the new housing secretary.”
In other news, work on social housing construction is set to rise from 2019/20, according to Glenigan’s construction market analysis.
As reported in PBC Today, the analysis predicts a rise of 2% in the underlying value of social housing starts this year, followed by a further rise of 3% in 2020. This follows an 11% fall in 2018.
The rise is due to increasing government support for shared ownership schemes, alongside the restarting of projects that were halted following Grenfell, the report suggests.
Citymetric has published an opinion piece which says that abolishing Section 21 is the first step in a series of reforms set to shake up the private rental sector.
The article says rent controls, which restrict when rent can be increased, can help bring stability to the sector and are supported by the majority of landlords in England and Wales.
According to the authors, England and Wales can also learn from Scotland, where open-ended tenancies have been introduced, meaning tenants can remain in properties for as long as they wish unless the landlord uses one of the 18 grounds for eviction, such as wishing to sell the property.
In Wales, a Freedom of Information request has revealed that families in Wrexham are living in B&Bs, despite it being unlawful for local authorities to place children or pregnant women in accommodation with shared facilities.
Wrexham reported that 39 families or pregnant women, and 85 children were living in shared facility accommodation at the end of December last year.
However, it is possible that some families are being accommodated outside of housing law – when the council has no duty to help.
A journalist in Scotland has written about the “scandal” of Thistle Housing Association, a Glasgow-based provider which last year was hit with regulatory action due to “serious governance weaknesses”.
Last week the regulator announced it will continue to oversee the housing association and will increase the number of appointees on the governing body.
Writing for the Evening Times, columnist Catriona Stewart details the problems Thistle residents have faced, including raw sewage, asbestos and scaffolding blocking homes.
