Affordable Housing Statement

We have adopted a new Interim Planning Guidance on Affordable Housing (IPG) on 8 October 2008.  It replaces the previous IPG which was published in 2006.  Policy H4 of the Unitary Development Plan (UDP) sets out the broad principles and aims in relation to affordable housing. 

 

Since Affordable Housing Supplementary Planning Guidance was published in 1998, there has been a radical transformation within the housing market, both nationally and locally.  Very few areas of the city now have housing available for purchase below the price which is considered affordable.

 

 

A developer contribution towards affordable housing will usually be required for all housing developments consisting of 2 or more dwellings.  The IPG applies to all types of housing, including homes for older people and purpose-built student accommodation.  It covers both new build and conversions.

 

For developments of 15 or more dwellings, the target for the proportion of dwellings that should be affordable is 40%.  The target is lower for developments of between 2 and 14 new homes and is based on a sliding scale which can be found in Appendix 3 of the IPG. 

 

The IPG applies to all housing applications meeting the above criteria (except reserved matters applications where outline permission for housing was granted prior to 8 October 2008).   The new policy will, however, also apply to applications submitted prior to this date, but which are not determined within 13-weeks (i.e. by 7^th January 2009).

 

 

Developers will be required to submit an Affordable Housing Statement, which sets out how the applicant proposes to meet the affordable housing requirements set out in UDP Policy H4 and the Council’s Affordable Housing Interim Planning Guidance (October 2008).  The absence of a required Affordable Housing Statement will render a planning application invalid.  A template for an Affordable Housing Statement is available as a download below, as well as a map showing the City's 11 housing market areas.

 

Applicants are strongly advised to contact the Council’s Strategic Housing Service (Tel: 0114 273 4617) prior to submitting a planning application. 

 

They will provide advice on the size, type and tenure of the affordable housing that is needed in the area, as well as advice on which local housing association partners would be suitable.  Appendix 8 of the IPG sets out a guide to the desired tenure split for different housing market areas in Sheffield. 

 

 

The target for affordable housing provision may be reduced if it would make the development economically unviable.  Where the developer considers that they cannot meet the full affordable housing contribution, agreement will need to be reached on an appropriate level of provision.  In these circumstances, the applicant will be asked to provide a full financial appraisal which includes a full breakdown of development costs. 

 

This will be appraised by an independent body approved by the Council (currently the District Valuation Office), at the developers expense.  The target percentage will usually only be relaxed if the price paid for the land (or price proposed to be paid) is less than 14% of the estimated Gross Development Value of the scheme (or less than the alternative use value where relevant), having also allowed for reasonable developer profit.  The contribution will, however, be waived if, when calculated, it would amount to less than £2,000.