Fife Council Affordable Housing Policy

1. Fife CouncilAffordable Housing Policy Fife Construction Forum Tuesday 4th May 2010

2. Content of presentation • Fife Council Context • Affordable housing need in Fife / homelessness • Planning & policy context in Scotland • Affordable Housing Policy • Commuted sums • Review of the Affordable Housing Policy • Delivering affordable housing • Delivering affordable housing with private sector

3. Fife Council context • Local Housing Strategy – continuing need identified • affordable housing • homelessness • Fife Council stock improvement SHQS - £51.4m annually • Commitment to dialogue and working with the sector • Fife Housing Partnership – includes place for development sector • Opportunities to help each other

4. Affordable Housing Need in Fife • Summary findings Housing Need and Demand Assessment (HoNDA 2009) draft under assessment Total current housing need: 9,935 (6.2% of households) • New Affordable Housing Requirement 2008 - 2018: 5,612 units • Geographical spread of need across Fife - e.g. high proportions in St Andrews (10.6% of households) - highest numbers in large urban areas e.g. - Dunfermline LHSA: 1,275 units - Kirkcaldy LHSA: 1,081 units

5. Housing need continued - Homelessness • Homelessness 2012 agenda • 3,500 homeless applications to Fife Council annually (2010) • 1,500 live applications at an one time - 55% of Council relets to homeless clients - 35% of RSL relates to homeless

6. Policy and Planning context in Scotland • Publication of Scottish Planning Policy & review of PAN 74 • Principles and guidance in the Local Housing Strategy • Objective of Scottish Government: Creation of mixed communities • - Requirement of Housing (Scotland) Act 2006 • - National outcome – to live in “well designed, sustainable places” • - Quota system “must be the backbone of the Affordable Housing • Policy land supply in Scotland…to secure mixed communities” • (Tribal Consulting report for Scottish Government)

7. Implementation Affordable Housing Policy (2005) • Quota required for provision of affordable housing Differentquotas set across Fife based on the needs identified • Site thresholds for on site provision - Developments of 20 units and above for Urban Areas - Developments of 10 units and above for Rural Areas - Off site provision/Commuted sums below these thresholds • Tenure Priority for Social rented – depending on funding • Pre-application discussions

8. Commuted Sums • Commuted sums values reviewed in July 2009 Different values for flats & houses • Commuted Sums to be reviewed annually  £603,383 received to date  £517,932 drawn down on affordable housing projects  £85,451 allocated but not drawn down • Monitoring of Commuted Sums spend Information to be accessible to the public on Fife Direct

9. Review of the Affordable Housing Policy • Context - Review every 5 years - Policy now in Development Plan - Structure Plan Guidance reverts to detailed non policy document • Headlines -1 document: combining supp guidance and implementation guide - Quotas being reviewed - Onsite thresholds being reviewed • Consultation Draft to Committee in June 2010 then 8 week consultation period

10. Delivering affordable housing - opportunities • Strategic Housing Investment Plan - Affordable Housing Investment Programme – preferred RSL development partner Fife Housing Association Alliance - 2nd Homes Council Tax (£1.5m per annum) & commuted sums • Fife Council new build: •  £15m remaining •  3rd round bid (62 units). Tenders invited in May 2010 •  Tender for joint venture development partner (to access land) - National Housing Trust – mid market rent proposal

11. Delivery by private sector • Context Economic recession Reduction Public Sector Resources • Opportunities for diversification of products New possibilities and solutions for developers • Research work Invitation to tender ongoing Developers to be consulted - importance of working process