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Affordable housing loophole needs plugging

Date: 10/11/2017

Planning magazine reports that Shelter's assertion that a "legal loophole" is allowing developers to get out of building thousands of affordable homes across the country every year has received widespread media coverage, but has also split opinion within the planning sector.

"Whether or not it's a legal loophole, it's certainly a loophole," said Mike Kiely, Chair of the Planning Officers Society. Kiely described the NPPF's wording as "inadequate". "The government should have made it clear that land values should reflect policy requirements," Kiely said. "It's quite clear from the data that developers have been paying over the odds for land. They are willing to do that because they have a reasonable degree of confidence that [the NPPF's competitive returns policy] will protect their profit level."

The 20 per cent figure, according to Kiely, has "become a starting position for a lot of developers". But before the last recession the figure was 15 per cent or lower, he said.

MikeKiely3web.jpg Mike Kiely

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