RURAL AFFAIRS AND ENVIRONMENT COMMITTEE RURAL HOUSING INQUIRY SUBMISSION FROM FALKIRK COUNCIL 1. Tenure profile of housing Table 1: Housing tenure Falkirk Council area (2006) Tenure Number % Council 17, 116 24.5 Registered Social Landlord 3,055 4.4 Owner occupied 47,430 67.8 Private rented 2,310 3.3 Total 69, 911 100 Source: Falkirk Council Corporate and Commercial Services Table 2 Housing tenure (census 2001) Town Local Plan Owner Council/ RSL Private rented Private Other Total Area occupied Scottish unfurnished rented Homes furnished Airth Rural North 269 211 7 2 9 3 501 Dunmore Rural North 24 0 0 5 1 2 32 Letham Rural North 26 51 0 5 1 3 86 South Alloa Rural North 22 5 1 3 1 1 33 Torwood Rural North 67 4 0 0 0 1 72 Wallacestone Rural North 258 4 0 0 0 1 263 Areas in Rural 408 271 8 15 12 10 724 North Allandale Rural South 42 55 1 0 0 2 100 Avonbridge Rural South 100 166 1 1 3 3 274 Blackness Rural South 43 11 0 5 4 2 65 California Rural South 129 130 1 3 3 0 266 Limerigg Rural South 51 35 0 0 0 0 86 Muirhouses Rural South 69 31 0 6 0 1 107 Rural Remainder Rural South 836 64 3 64 47 35 1049 Shieldhill Rural South 696 262 4 6 6 5 979 Whitecross Rural South 115 216 2 1 1 1 336 Wallacestone Rural South 258 4 0 0 0 1 263 Areas in Rural 2339 974 12 86 64 50 3525 South Source: Falkirk Council Corporate and Commercial Services Insight 2001 census further analysis Housing and Social Work 2. Unmet housing need Falkirk Council Housing and Planning services commissioned Newhaven Research to carry out research into affordable housing need. This was carried out at local and sub area level to inform the Council’s Affordable Housing Policy and took account of the guidance from the Department of Communities and Local Governmennnt (DCLG, 2007) on housing need and anticipated the then Scottish Executive housing need guidance. The research concluded that the Falkirk administrative area remains a distinct housing market, although it has become more open to influence from the wider Edinburgh HMA and (to a lesser extent) other neighbouring markets. Within the Falkirk housing market there are five identifiable sub areas that are large and distinct enough to support separate housing needs analysis. These areas are: • Bo’ness • Denny and Bonnybridge • Wider Falkirk (Falkirk, Larbert/Stenhouemuir and Rural North) • Grangemouth • Polmont and Rural South These areas have been identified using house sales data in relation to both origin based and destination based purchaser flows. The rural areas within Falkirk Council area are Rural North and Rural South. These areas are not large and distinct enough to support separate housing needs analysis in relation to the guidance on housing need used. The following table indicates Rural North and Rural South are part of larger areas which have a shortfall of affordable housing. Falkirk Council will take account of the Strategic Housing Market and Needs Assessment guidance due to be issued by the Scottish Government in late March 2008, which will replace all previous housing needs assessment guidance. Table 3: Core housing needs estimate of the average annual shortfall of affordable housing to 2007-2016 Housing Annual Newly Total Average Shortfall needs average arising need lets assessment backlog need area Larbert, 51 172 223 130 93 Stenhousemuir & Rural North Polmont and 50 184 234 167 67 Rural South Source: Newhaven Research 3. The nature of that unmet housing need (according to types and tenures of properties) In order to inform the next full Local Housing Strategy, Newhaven were asked to consider the nature of housing need in Falkirk. This involved analysis of the potential role of low cost homeownership as an option to address housing need. Newhaven were also asked to consider whether there are potential imbalances in the size of housing required by households in need relative to the size of housing available for occupation. The following conclusions were made in relation to low cost home ownership options for the Falkirk Council sub areas containing a rural element: • A 25% shared ownership stake compares favourably with buying an unsubsidised resale property in Polmont and Rural South but not wider Falkirk area (Falkirk, Larbert/Stenhouemuir and Rural North) • The cost of purchasing a 51% Homestake equity share is below the cost of purchasing on the open market in the wider Falkirk area (Falkirk, Larbert/Stenhouemuir and Rural North) and Polmont and Rural South • The cost of a 60% Homestake property is marginally less expensive than buying an unsubsidised resale property in Polmont and Rural South but not in the wider Falkirk area (Falkirk, Larbert/Stenhouemuir and Rural North) • Annually from 2007-2016 there is estimated to be an average of 22 newly forming households in the wider Falkirk area (Falkirk, Larbert/Stenhouemuir and Rural North) and 23 in Polmont and Rural South who would have sufficient income to be able to afford homeownership at 51% Homestake Newhaven were asked to consider what size of affordable housing people require. This was established through “pressure ratios”. This is a measure of how many households are seeking social housing at a given point in time relative to what is available. Based on the number of bedrooms required according to the Council’s allocations policy, this measure suggests that there are 2 households in current need for every smaller property let and 4.5 households in current need for every larger property let. If this measure is based on applicants’ preferences, the ratio for larger properties increases to 5.7 households for every let. 4. Levels of homelessness (including estimates of “hidden homelessness”) 4.1 Levels of homelessness Table 4: Homeless applicants on the Council waiting list from rural areas Dec 2007 LPA Number Rural North 13 Rural South 26 Rural Total 39 Source: Falkirk Council Housing Management System 4.2 Hidden homelessness Hidden homelessness has been identified as Council waiting list applicants who have points under the allocations system for sharing amenities. Table 5: Lodgers/sub tenants on the Council waiting list in rural areas with insecurity points Dec 2007 Local Plan area Number Rural North 66 Rural South 111 Grand Total 177 Source: Falkirk Council Housing Management System 5. Levels of 2nd home and holiday home-ownership Table 6: Numbers of 2nd homes February 2008 Local plan area Number Rural North 15 Rural South 17 Rural Total 32 Source: Falkirk Council Finance 6. Numbers of empty properties Table 7: Number of empty properties February 2008 Local Plan Area Number Rural North 28 Rural South 71 RuralTotal 99 Source: Falkirk Council Finance 7. Definition of “rural” used The definition of “rural” is made in reference to both the Falkirk Council Local Plan (finalised draft April 2007) and the Scottish Executive document Urban Rural Classification 2005-6 (2006). Rural areas within Falkirk consist of the local planning areas Rural North and Rural South which fit the classification of accessible rural or settlements of less than 3,000 people and within a 30 minutes drive of a settlement of 10,000 or more. Falkirk Council 19 February 2008 .