Positive News on New Housing and Affordability?

One of the most common complaints around new housing in Brent and elsewhere is the price.  The state of the London housing market is such that vast numbers of people are being priced out their communities, and outsiders often can't move in to take advantage of London's status as the UK's number one job generator.  That has still wider implications in terms, for example, of forcing very long commuting times on many people.

Property developers, of course, would be happy not have affordable housing at all since it lowers their profits.  LocalGovernmentlawyer has a good update on this subject covering the viability loophole, which I reported was being reviewed a while ago.  This covers the ability of the developer to reduce their affordable home proportion by arguing that National Planning Policy entitles them to a certain level of profit and that means reducing the "affordable" share of the development.

Brent and London have both routinely approved schemes at less than 50% (the recommended level in guidance) and some cities have no affordable housing at all in many of their schemes.

Changes to government guidance now raise the possibility of a reduction in the margin from the current expectation of 20%.  The current drafting makes it sound more like any profit level is acceptable.  It also suggests that viability assessments need not be routine, and that where they are made they should be publicly available (and therefore more easily challenged).

If that change becomes part of the guidance it should open the way for local authorities to become far more aggressive in terms of affordable housing. 

This would be a rare example of the government actually helping to turn the UK's dysfunctional housing market around.