In a new consultation the government has proposed that
20% of the homes built on all major sites should be Starter Homes. The long-awaited document seeks views on
setting a minimum threshold of the homes, sold at a 20% discount, on all developments
of more than 10 homes. This effectively sets a top-down target for developers’
contributions to affordable housing in the planning process – known as Section
106 deals. If the developer makes enough profit from a scheme, the consultation
says “councils and developers would be free to agree a larger percentage of
Starter Homes”. The consultation says: “Evidence suggests that a starter homes
requirement of 20% of all homes delivered on a residential development would be
viable on an average development.”
Download the consultation from the CLG website.
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