Policy ST18: Affordable Housing on Development Sites May 2019
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NORTH DEVON AND TORRIDGE LOCAL PLAN 2011-2031 PRACTICE NOTE 1 Policy ST18: Affordable Housing on Development Sites May 2019 th v1.1 | 14 May 2019 v1.1 | 14th May 2019 v1.1 – Added clarification to Appendix A with respect to the different definitions of Designated Rural Areas that are applicable for affordable housing thresholds vs 'local connection' and 'stair-casing' restrictions. If you have any queries or questions relating to this document please get in touch using the details shown below: Torridge District Council North Devon Council Riverbank House Lynton House Bideford Commercial Road EX39 2QG Barnstaple EX31 1DG [email protected] [email protected] 01237 428700 01271 388288 All maps © Crown copyright and database rights 2019 Ordnance Survey 100021929 and 100022736 EUL. You are permitted to use this data solely to enable you to respond to, or interact with, the organisation that provided you with the data. You are not permitted to copy, sub-license, distribute or sell any of this data to third parties in any form. NORTH DEVON AND TORRIDGE LOCAL PLAN 2011-2031 | PRACTICE NOTE 1 North Devon and Torridge Local Plan 2011-2031 Practice Note - Implications of the revised NPPF1 Application of Policy ST18: Affordable Housing on Development Sites Executive Summary Introduction A. A revised National Planning Policy Framework (NPPF) was published in July 2018. This included changes to affordable housing policy that will impact on the Councils’ approach to seeking affordable housing on development sites, as currently set out through the North Devon and Torridge Local Plan (NDTLP). The Revised NPPF B. The most notable changes to the NPPF are to: i. amend the national development thresholds that determine whether affordable housing on development sites may be sought; ii. require a proportion (10%) of housing on major developments to be for affordable home ownership unless an alternative approach is justified (acceptable circumstances stated); and iii. amend the definition of affordable housing to encompass further housing tenures/ products. Affordable Housing on Development Sites C. Having considered the above the Councils will adopt the following stance in respect of seeking affordable housing on development sites: i. Recognising the provision to do so in Policy ST18 of the NDTLP, the thresholds for seeking affordable housing on development sites in Clauses (1)(a) and (b) of Policy ST18 in the NDTLP will be set aside, rather applying those thresholds provided through paragraph 63 of the revised NPPF: o Outside of “designated rural areas” (see appendix A) affordable housing will be sought on-site at a level of 30% from housing developments of 10 or more dwellings or where the site has an area of 0.5 hectares or more, irrespective of the number of dwellings proposed. o In “designated rural areas” (see appendix A) affordable housing will be sought on-site at a level of 30% from housing developments of 6 or more dwellings or where the site has an area of 0.5 hectares or more, irrespective of the number of dwellings proposed. 1 National Planning Policy Framework (NPPF); Ministry of Housing Communities & Local Government (MHCLG), July 2018 May 2019 i NORTH DEVON AND TORRIDGE LOCAL PLAN 2011-2031 | PRACTICE NOTE 1 ii. The provision stipulating that only financial contributions towards affordable housing will be sought on sites in designated rural areas is set aside. In “designated rural areas”, affordable housing will now be sought on- site from qualifying developments of six or more dwellings and on sites of 0.5 hectares or more; rather than previously only being sought in the form of a financial contribution; iii. The starting point is now an expectation for on-site delivery from all qualifying development, with off-site delivery or provision through financial contributions of broadly equivalent value to be negotiated only where it can be demonstrated that on-site provision is not possible or appropriate. iv. Applying the enabled exemption, the requirement in the NPPF (para. 64) for 10% of homes to be available for affordable home ownership on major developments will not be applied; considering that doing so would prejudice the ability to meet the affordable housing need of specific groups across northern Devon. The starting point for the tenure split sought for affordable housing will remain unaltered from the requirements of clause (7) of Policy ST18 in the NDTLP (75% Social Rented/ 25% Intermediate); and v. The approach to the calculation of appropriate sales values (and associated discount) for affordable home ownership will not change in light of changes to the definition of affordable housing in the revised NPPF. May 2019 ii NORTH DEVON AND TORRIDGE LOCAL PLAN 2011-2031 | PRACTICE NOTE 1 North Devon and Torridge Local Plan 2011-2031 Practice Note - Implications of the revised NPPF2 application of Policy ST18: Affordable Housing on Development Sites Introduction 1. The Planning and Compulsory Purchase Act 2004 (PCPA) at s38(6) requires that if regard is to be had to the development plan for the purpose of any determination to be made under the Planning Acts the determination must be made in accordance with the plan unless material considerations indicate otherwise. 2. A revised National Planning Policy Framework3 (NPPF) was published in July 2018 with changes to policy relating to the provision of affordable housing. With national planning policy being a material consideration in decision taking, it is necessary to consider the implications of these changes, particularly with reference to the implementation of relevant policy in the North Devon and Torridge Local Plan 2011-2031 (NDTLP) which has been prepared to accord with the provisions of the previous NPPF4. This guidance note reviews the points of change in national policy from the previous to revised NPPF and how such will be taken into account by North Devon Council and Torridge District Council when determining relevant planning applications. Development Plan 3. In determining the need for development proposals to contribute to the delivery of affordable housing, the starting point for both North Devon Council and Torridge District Council are the provisions contained in the adopted development plan; the principal relevant component of which in this case is the North Devon and Torridge Local Plan 2011-2031. North Devon and Torridge Local Plan 2011-2031 4. The NDTLP was adopted by North Devon Council and Torridge District Council through resolution at meetings of their respective Full Councils on the 29th October 2018. 5. Policy ST18: Affordable Housing on Development Sites of the NDTLP provides the policy basis for seeking affordable housing on development sites in northern Devon. The adopted policy seeks affordable housing provision on qualifying sites in accordance with the Written Ministerial Statement (HCWS50) which was published in November 2014. 6. The publication of the revised NPPF in July 2018 has altered the national provisions on the provision of affordable housing on development sites. This has introduced discrepancies between the policy requirements of the NDTLP and national planning 2 National Planning Policy Framework (NPPF); Ministry of Housing Communities & Local Government (MHCLG), July 2018 3 Ibid. 4 National Planning Policy Framework (NPPF); Department for Communities and Local Government (CLG), March 2012 May 2019 1 NORTH DEVON AND TORRIDGE LOCAL PLAN 2011-2031 | PRACTICE NOTE 1 policy in respect of the affordable housing thresholds and the definition of affordable housing. It is therefore necessary to consider the Government’s revised policy position on the delivery of affordable housing and how such will impact on the implementation of Policy ST18. National Planning Policy Framework 7. The Government published a revised NPPF on 24th July 2018, the provisions of which are required to be taken as material considerations in determining planning applications with immediate effect5. The revised NPPF introduced a range of policy changes with respect of affordable housing, some of which are not reflected in the provisions of the NDTLP. The principal elements of change are set out below: Paragraph 63 has superseded the WMS (HCWS50) and effectively altered the thresholds at which affordable housing can be sought in both urban and designated rural areas. The paragraph sets out that: the general threshold for being able to seek affordable housing on development sites will now be aligned to a definition of “major development”, as set out in the glossary to the NPPF; embracing housing schemes that provide 10 or more dwellings and/or are on sites of 0.5 hectares or more; and the opportunity to adopt a lower threshold in designated rural areas is retained (at 5 dwellings) however the restriction for these smaller rural proposals to only contribute to the delivery of affordable housing through financial contributions is removed; enabling on-site delivery. Paragraph 64 introduces a requirement on major housing developments that: where affordable housing is to be provided, 10% of the homes are expected to be available for affordable home ownership: o unless this would exceed the required level of affordable housing in the area; or o significantly prejudice the ability to meet the identified affordable housing needs of specific groups. Annex 2 of the NPPF, the Glossary makes changes to the definition of affordable housing, broadening the range of tenures so that it now includes: affordable housing for rent (both social and affordable), starter homes, discounted market sales housing and a range of home ownership options, with the latter two ownership options required to be at a price equivalent to at least 20% below market value. Implementation of Policy ST18 taking account of the revised NPPF 8. Following adoption of the NDTLP it is the Councils’ intention to provide further guidance on affordable housing delivery through an Affordable Housing SPD. As an interim measure and to ensure a consistency of approach in decision making the following is provided to give clarity to the implementation of Policy ST18 in light of changes to national planning policy on this matter.