To approve the approach to the delivery housing model options available to the council to increase the supply of affordable housing in the County. Cabinet is also requested to approve Phase 2 of this strategic work to develop a pipeline of sites suitable for development as affordable housing to support discussions with key partners including Homes England.

The County Plan 2020-2024 sets out the council’s ambition to provide 1,000 affordable housing units in the county. The term affordable is taken in its widest sense – to provide a range of housing that is genuinely affordable to both rent and purchase given local earnings. The council has not owned its own housing stock since 2002 and a review has therefore been undertaken as to the most appropriate role for the council in delivering its ambition. The options and delivery proposals suggested recognise the structures already in place and available to the council.

That:

a)    Having considered the options set out in the paper to deliver up to 2,500 homes in the County over the next 10 years Cabinet agree that:

i.               the council own the affordable units initially under the General Fund and then establish a HRA; and

b)    approves to spend up to £72k on the development of the housing model chosen in recommendation (a), by developing a full business case;

c)    asks Engie to develop recommendations for proceedable sites to be reviewed at Cabinet in December 2020;

d)    approves to spend up to £71k to develop recommendations for potential sites to be reviewed at Cabinet in January 2021 to agree how to progress affordable housing delivery in Herefordshire; and

e)    an independent expert be appointed within a budget of £20k to advise on ensuring that housing built through this programme is compatible with our commitment to being a net zero carbon council by 2030.

1.         The council could choose not to intervene in the provision of affordable housing in the County and allow the current arrangement of Registered Providers (RPs) and house builders to meet provision. However, the type and scale of development produced via RPs and private house builders in recent times has not kept pace with demand for affordable housing seen as one of the key components of the County’s wider economic ambitions.