“Home builders’ lobbyist pushed council leader to ‘sort’ and speed planning”

Is this any different to having a (Tory) COUNCILLOR in charge of planning running his own planning consultancy AND chairing an influential business forum? And if this expose came about from a Freedom of I formation request about events in Wandsworth in 2011 and 2013 …..

https://www.telegraph.co.uk/news/politics/9920971/If-I-cant-get-planning-nobody-will-says-Devon-councillor-and-planning-consultant.html

“A lobbyist for some of the UK’s biggest property developers used a direct communication channel to the leader of a flagship Conservative council to help push through planning applications for luxury apartment developments.

Peter Bingle used his longstanding relationship with Ravi Govindia, the leader of the London borough of Wandsworth, in attempts to circumvent council officials he believed were being obstructive to his clients, including over the size of payments due to public projects.

Bingle’s access has been revealed in a cache of emails released under the Freedom of Information Act that show him asking Govindia, a former flatmate, to smooth the passage of planning applications for hundreds of luxury homes between 2011 and 2013. Govindia responded in some cases by promising to chase officials and fix meetings.

Berkeley calls affordable housing targets ‘unviable’ as chairman earns £174m

Bingle is a former Conservative councillor at Wandsworth and was chairman of Bell Pottinger Public Affairs, once one of the country’s biggest lobbying firms. He set up Terrapin Communications, whose clients have included Ballymore and Bellway, the housebuilders, and Royal Mail when it was selling off its land for housing.

When Royal Mail complained about the junior rank of the planning officer assigned to its application and having to repeat details of its plans to officials, Bingle emailed Govindia: “This wouldn’t have happened under the old regime. Your help would be appreciated in sorting things out.”

Bingle later forwarded the Royal Mail’s plan for its presentation to the Wandsworth planning committee to Govindia asking “What’s your advice?” Govindia replied two minutes later: “Will call as soon as I finish this meeting”.

Nearly 100 London councillors have links to property industry

There is no suggestion of wrongdoing, but the correspondence provides a rare window on the methods developers use to apply pressure to politicians behind the scenes to speed up high-stakes planning decisions and to reduce infrastructure payments. An investigation last week revealed how Berkeley Homes, one of London’s largest developers of luxury homes, routinely told local authorities that their affordable housing targets were unviable.

In April, the Guardian revealed planning lobbyists regularly entertained Robert Davis, Westminster city council’s former planning committee chairman. Davis received hospitality or gifts 893 times over six years, frequently from developers and their agents, including Bingle. He has since resigned as deputy leader.

The emails relate to when Bingle was working as a lobbyist for the Royal Mail, which had submitted plans for a 1,800-home development on its site close to Battersea Power Station. In one email to Govindia he lambasted the council’s handling of a negotiation about how much his client should pay to the public purse as “chaotic and shambolic”. He told Govindia it “does nothing for Wandsworth’s reputation in the property world … Something has gone seriously wrong.”

The planning application was eventually approved. Royal Mail last year sold part of the site to US investors for £101m.

Bingle chased Govindia for updates on progress of another 252-home application at Battersea for another client, complaining about “non-committal” planning officials. He applauded the leader when a separate application for 104 private flats in Putney by Berkeley Homes was approved, signing off an email: “Many thanks for a great result.” It had no social housing.

Bingle has denied exerting any undue influence and Govindia said he made no apology for delivering more homes for Wandsworth.

Public records show Bingle has entertained at least 31 councillors in different London boroughs in recent years, taking some out for lunch or dinner more than a dozen times. When Govindia, who was among those he entertained, was awarded a CBE in 2017 Bingle said: “Never has an award for services to local government been more deserved.”

Govindia did not sit on Wandsworth’s planning committee, but Bingle repeatedly urged him to help, often simply forwarding on complaints from property developers.

In January 2012, Royal Mail was concerned about what the council wanted in terms of payments for schools and education. Bingle forwarded an email about that directly to Govindia saying “Ravi, Views?”

Govindia replied later that day: “I will chase the education chaps”.

By March, the development consultant on the scheme asked Bingle to “prod Ravi that we need to get on with this”. Bingle forwarded the email to Govinidia saying “I thought it simplest just to forward this to you”.

When Bingle sent an email asking: “Leader, Can we get a meeting with you in the diary for next week? This scheme is now stuck,” Govinida replied: “I have asked for an update from planners next week.”

Asked about the relationship Bingle said: “The fact that this information came from a freedom of information request shows that it was always available for scrutiny in the public domain. And rightly so. Having been a long-standing friend of Ravi I know it is impossible for anybody to have undue influence over him. Since his earliest days on Wandsworth as a backbench councillor he has always resolutely defended his own viewpoint even if it meant voting against the Conservative group.”

Govinidia said: “It is first and foremost the job of any council leader to press those on all sides to deliver improvements to their borough and improve the lives of their residents. To do the job effectively you need to listen to all voices and make sure that when problems or snags arise that you are on top of them and that you can secure solutions to drive forward and deliver these improvements. I make no apology whatsoever for fulfilling my role as a council leader to deliver more homes, more jobs and more opportunities for our residents.”

He said the Royal Mail development will deliver 318 new affordable homes, a higher number than the developers were originally offering.”

https://www.theguardian.com/uk-news/2018/sep/13/home-builders-lobbyist-pushed-council-leader-to-sort-and-speed-planning

Manchester regeneration makes inequality worse

“Glitzy high-rise developments have been on the march in Manchester for the past 30 years but they have left poorer families out in the cold, according to a damning report.

Predictions have been made that Manchester is facing a looming housing crisis due to a “misguided” developer-led regeneration strategy.

Almost 50,000 new and mostly private homes are planned in central Manchester by 2040 – yet some 80,000 people are currently on Greater Manchester’s social housing waiting list.

The report from Alliance Manchester Business School said regeneration over the past 30 years has focused disproportionately on new flats and offices in the two central boroughs of Manchester and Salford. It said this has resulted in a centre filled with one and two-bed buy-to-let flats built for one demographic – young white-collar workers – and is failing to meet the demands of others such as families and those on lower incomes.

The report also argued that there is a danger of the creation of “social clearances” where expensive new developments could create community tensions. As central Manchester expands, the planned developments in areas such as Angel Meadow and Collyhurst could intrude on existing communities, many of them in areas of social deprivation.

Over the past 30 years, according to the reports’ authors, local authorities have allowed private property developers to lead the city’s regeneration, focusing primarily on building new flats and offices in central Manchester and Salford. The repercussion of this, they said, is that the city is no longer meeting the needs of many of its residents and does not have the social infrastructure such as schools, libraries and broadband “that communities need to thrive”. …”

https://www.theguardian.com/uk-news/2018/sep/13/manchesters-building-boom-has-left-poorer-families-out-in-the-cold

The new slums: 250,000 (including children) living in squalid rented homes

“A quarter of a million families bringing up babies and infants in England are living in privately rented accommodation that fails to meet the decent homes standard, it has emerged.

The number of households bringing up children aged under four in squalid conditions, which can include damp walls, broken heating and infestations of rats, has increased by an estimated 75,000 since 2007, according to analysis of official figures.

The study of England’s private rented sector says renters of all generations have been failed by successive governments. The number of rented homes has more than doubled since 2000, to 4.8m, as the construction of private and social housing has slowed dramatically since the financial crisis and hundreds of thousands of new landlords have entered the market seeking better investment returns amid low interest rates.

“It is scary for me to think we have a lot of families in these circumstances,” said Julie Rugg, a senior research fellow at the University of York’s Centre for Housing Policy who co-authored the report. “There is a disproportionately high percentage of households with babies and infants living in the private rented sector and there is a particular concern for the longer-term health consequences of living in damp, mouldy property with poor thermal comfort.”

The problem conditions are not confined to young families. One in three homes at the lowest rents and one in five of the most expensive homes are classed as non-decent. In 2016/17, half of new households were private renters, twice the number who became owner–occupiers.

The Centre for Housing Policy also warned of a new kind of “slum tenure” at the bottom of the rental market spreading as a result of welfare cuts and the introduction of universal credit causing landlords to cut back on maintenance and allowing properties to fall into squalor.

The findings come amid growing pressure on the government to toughen regulation of private rentals, especially as more vulnerable people who would previously have been in social housing are relying on the sector.

Campaign groups including Shelter, which has described private rent as like the “wild west”, want the government to start making public its database of convicted rogue landlords and to insist on minimum three-year tenancies to give tenants greater leverage to challenge poor conditions. A new fitness for human habitation bill will mean tenants can take landlords to court with evidence that their homes are unfit.

“Declining home ownership and a shortage of social rented homes have led to a surge in the number of people privately renting, particularly families with young children,” said Rugg. “Unfortunately, in its current form the private rental market isn’t providing a suitable alternative. We need to see a fundamental rethink of the role that private renting plays in our housing market.” …

https://www.theguardian.com/money/2018/sep/10/study-reveals-rise-in-children-raised-in-squalid-rental-homes

“Help to buy” – or help to rip off?

“Britain’s biggest housebuilders have doubled the average profits they make from each home since the Help to Buy scheme was launched.

Analysis by The Times reveals that the top five builders in Britain are making an average profit of £57,000 on each house they sell, compared with a mean average of about £29,000 in 2007.

Barratt, the biggest builder, is making almost double the amount of profit compared with ten years ago but is building only 411 more homes. Another builder, Bellway, is making more than £58,000 profit a house compared with a little more than £30,000 in 2007 but is building 2,000 fewer homes.

At the time of its launch in 2013, it was hoped the scheme would stimulate house-building. When it was extended in 2014, Mark Clare, then chief executive of Barratt, said: “Britain urgently needs more homes and by setting out a longer-term framework for Help to Buy this announcement will enable the industry to deliver just that.” Yet figures show that the total number of new houses delivered has barely changed since the introduction of the scheme.

The profits last year have been compared with 2007 because this was the last full year that housebuilders were at their peak before the financial crash. Annual pre-tax profits were divided by the number of homes built in each year to reach a “profit per house” figure.

Britain is facing its worst housing crisis in generations, with ownership at a 30-year low and a record 1.8 million families with children renting privately.

Housebuilders were quick to point out that underlying growth will have boosted profits, with house prices having risen by 23 per cent across the UK since 2007. They also noted that they were paying huge amounts back in debt each year at high interest rates before the financial crash, compared with today, when they have millions in cash at the end of each year.

However, analysts believe that a large driver of profits is the government’s Help to Buy scheme, which supports about 40 per cent of housebuilders’ sales. Robin Hardy, an analyst at Shore Capital, believes that housebuilders would be making £22,000 less in profit on each house built for first-time buyers if Help to Buy was not in place. “We reckon that homes sold through Help to Buy are 53 per cent higher than in June 2013, whereas house price figures from Land Registry or Nationwide suggest that across all first homes it’s more like 19 per cent,” he said. “That suggests that someone is gaming the system.”

Neal Hudson, a housing expert at Resi Analysts, said that shareholders had become “the main priority” for housebuilders since the financial crash. “The over-arching factor has been big pressure from the City,” he said. “The priority for them is profit margin not the number of homes built.”

Persimmon, Britain’s second-largest housebuilder, made an average profit of just over £60,000 on each house it built in 2017. In 2007 the figure was £36,787. It built only 138 more homes.

The housebuilder made pre-tax profits of £966 million in 2017 and has a war chest in net cash of £1.3 billion. Jeff Fairburn, its chief executive, was paid £75 million in a bonus scheme last year, which was more than the highest paid banking executives on Wall Street.

Lord Best, vice-chairman of the all-party parliamentary group on housing, said: “These bumper profits come at a time of growing recognition of the catalogue of failings of major housebuilders: poor design, miserable space standards, defective workmanship, delaying development to keep prices high . . . and exploiting a loophole in the planning process to renege on their obligations to include affordable homes in their developments.”

However, developers said the type of product they build has changed, with far fewer flats and a much tighter control over what type of land they buy.

A Home Builders Federation spokesman said: “House building is cyclical. After the financial downturn companies posted big losses and had to make huge writedowns on the value of their land. Many companies disappeared. Since 2013 output has increased by 74 per cent, an increase that as well as providing desperately needed homes has given the economy a huge boost.”

Source: The Times (pay wall)

“Housebuilder Barratt shrugs off market worries to post record profits”

“Britain’s largest housebuilder Barratt Developments has shrugged off fears of a slowdown in the property market to post record profits.

The FTSE 100 giant made £836m in pre-tax profits in the year to June, a 7.9pc improvement on the previous year, after revenues grew 4.8pc to £4.9bn.

Barratt sold 17,579 houses in the year, up 1.1pc, at an average selling price of £289,000, a rise of 5pc.

While there are signs of a slowdown in the wider housing market, John Allan, chairman, said Barratt’s new builds were continuing to attract strong levels of interest from buyers.

He said: “Market conditions remain good with a wide availability of attractive mortgage finance, which, alongside Help to Buy, continues…”

https://www.telegraph.co.uk/business/2018/09/05/housebuilder-barratt-shrugs-market-worries-post-record-profits/

“Berkeley calls affordable housing targets ‘unviable’ as chairman earns £174m”

“… Excluding developments where planning consents were gained by a previous owner and the student accommodation projects, in 93% of Berkeley’s 57 London developments the company told local authorities that their affordable housing targets were unviable.

In one example, Land Registry data indicates Berkeley Group sold 71 homes in its Ebury Square development in Belgravia, central London, for a total of £358m.

The company told Westminster council that as the development was refurbishing an existing building that contained 60 units, only 11 additional homes would be generated. This meant, under Westminster planning rules, that Berkeley was obliged to build only one affordable home. But instead of building it on site, Berkeley made a payment to the council of £1.6m towards low-cost housing elsewhere in the borough.

Freedom of information disclosures show that Berkeley bought the Ebury Square site – a former police house – from the Metropolitan Police for £23.6m in 2009. The profit on this single development is thought to be in excess of £200m.

At Kew Bridge in west London, Hounslow council accepted that Berkeley could only build 20% of a 308-unit scheme as affordable – half the local authority’s affordable target.

Building those units, Berkeley stated in a planning agreement, would mean the scheme would be £24.6m in deficit. Berkeley told Hounslow that house sales would generate £132m. Berkeley did agree to make an extra payment to Hounslow capped at £8.3m in the event of the scheme performing well. Land Registry data suggest that the scheme generated close to £250m, with one apartment selling for £4.55m.

A spokesman for the company said: “Berkeley has a sustainable, successful business model that enables it to perform well throughout the economic cycle, as demonstrated by its results of recent years and creation of fantastic new communities and long term value. We are justly proud of our track record in building 10% of London’s much-needed private and affordable homes.

“Last year alone, Berkeley contributed more than £400m of subsidy for affordable housing and wider community and infrastructure projects, which has helped us be recognised as London and the south-east’s leading place-maker. Sales utilising Help to Buy are a very small part of Berkeley’s sales.” …

https://www.theguardian.com/business/2018/sep/03/berkeley-calls-affordable-housing-targets-unviable-as-chairman-earns-174m

Save Clyst St Mary Summer 2018 Update

“It’s been a while since I was last in touch with you regarding proposed future, large scale developments in Clyst St Mary and I’m aware that there are a number of residents interested in our Campaign who are new to the village, so I am writing to provide a brief summary. I hope you find this helpful.

Thanks to the support of so many residents from all parts of our village, we have managed thus far to fight plans to substantially increase the number of homes in the village (by over 100%!). We have fought this on the grounds of the proximity to flood plains, significant traffic and safety concerns, issues regarding pollution and the lack of existing infrastructure. We have never been against all future development, but feel that any future growth needs to be sustainable.

As I write, the situation regarding the Friends Provident site is that twenty one months on from the submission of the planning application for 150 dwellings and employment space at Winslade Park, these proposals are still awaiting a decision from East Devon District Council.

As you may have seen in the press this week, there are plans to develop a ‘second Cranbrook’. This could have significant implications for Clyst St Mary because this village has been earmarked for future development but without substantial road infrastructure improvements any sizeable development will be accessed via our roundabout, adding to the already excessive level of traffic congestion that so many of us have to face on a daily basis!

Worryingly, there is also a rumour that East Devon District Council plan on connecting sizeable development (in the region of 12,000 houses) to Clyst St Mary stretching along the A3052. The report goes before the District Council Strategic Planning Committee on Tuesday 4th September.

Our East Devon District Councillor is Mike Howe. You may also be interested in the following article from Devon Live

https://www.devonlive.com/news/devon-news/second-cranbrook-new-town-more-1944438

or the 70 page link to the Council’s report below

Click to access 040918strategicplanningcombinedagenda.pdf

Thanks to one of our Campaign’s members, I am able to attach a much more detailed summary of these plans (see separate post above) focusing on how they relate to our village.

May I take this opportunity to thank you, once again, for your continued support. Please spread the word if you meet new residents who may not be aware of the Council’s intentions for the village. We are always grateful for more hands-on support from residents, so if you would like to get more actively involved, please do let me know.

With best wishes,

Gaeron

https://saveclyststmary.org.uk/

“Land now 51% of UK’s net worth – a huge transfer of wealth to landowners, say campaigners”

“A dramatic rise in land values pushed Britain’s wealth to a fresh high of more than £10tn last year, highlighting the huge gains made by developers in property hotspots across the UK.

From London and the home counties to Cambridge and popular parts of Devon and Cornwall, land values have become the single largest element of wealth, dwarfing household wealth locked up in property and financial savings.

Official figures showed that the UK’s net worth rose by £492bn between 2016 and 2017 to £10.2tn, with the lion’s share of the increase accounted for by a £450bn jump in the value of land.

The rise continues a trend since 2012 that has pushed the average assets held by each Briton to £155,000, up £6,000 from 2016.

The Office for National Statistics said consistent increases in the value of land meant it accounted for 51% of the UK’s net worth in 2016, higher than any other G7 country that produces similar statistics.

In France, which has a land mass twice the size of the UK, land values account for 41% of wealth while in Germany they account for only 26%.

This week several landowners have outlined plans for developments, including the Duke of Westminster’s Grosvenor Group, which said it was taking a growing interest in residential property outside central London.

It said it would build thousands of homes on greenfield sites around Oxford and Cambridge, which are to benefit from Treasury plans to connect the two university towns with a cross-country rail link.

Analysts said much of the increase in land values was in response to Britain’s rising population, which has put pressure on the government to back house builders seeking to develop green field sites and farmland in south-east England and other development hotspots around the country.

The price of farmland can increase by 100 times when developers succeed in persuading ministers to re-designate it for housing. Areas of London that were previously derelict, especially in the east of the capital, have seen huge rises in values as regeneration efforts and improved transport links have fed into property prices.

Commercial property has also enjoyed an upswing in value since Britain’s recovery following the 2008 banking crash, more than offsetting recent declines in much of the retail sector.

The ONS figures go beyond a study last year by Lloyds bank that showed that Britain’s net worth had climbed above £10tn for the first time, but did not single out the value of land.

The steady increase in land values is expected to trigger further calls for a land value tax or new rules allowing local authorities to reap the rise in values by allowing them buy land earmarked for development.

A growing number of thinktanks and politicians support imposing a tax that would take a slice of rising land values.

The Institute for Fiscal Studies has urged the Treasury to develop a scheme, while the Green party co-leader, Caroline Lucas, has tabled a private member’s bill proposing a land value tax. Labour said in its 2017 election manifesto that it would consider a similar tax.

Mark Wadsworth, the head of the Campaign for Land Value Taxation, said: “The minority with a vested interest in high land values will no doubt celebrate higher values, saying that is shows the importance of land to the UK economy.

“In truth, land values are not a net addition to national wealth, they merely represent the benefits that accrue to landowners because of government spending on public services funded out of general taxation; land values are actually just a measure of ongoing transfers of wealth from taxpayers to landowners and a zero-sum game.”

https://www.theguardian.com/business/2018/aug/29/uks-wealth-rises-as-land-values-soar-by-450bn-in-a-year

Greater Exeter Strategic Plan: consultation about consultation and Skinner has a pet project other councils are ignoring

Correctiin: headline changed from Diviani to Skinner as it is assumed it is new Deputy Leader who wants a sports venue. Well, he is known to be a rugby fan!

“The vision is about to start to decide specific issues in October, with the aim to prepare a draft plan for consultation in the summer of 2019 after the local elections.” …

For the GESP area, 2,600 homes a year are needed, meaning over the 20 years of the plan to 2040, around 57,200 new homes will be built. …

[Here follows a masterpiece of shooting down Diviani’s idea for a “major sporting venue” ncely!]

“In previous discussions regarding the GESP, the Deputy Leader of East Devon District Council has put forward the idea of developing a regionally or nationally significant sports arena and concert venue within the GESP area.

The consultation does not specifically refer to this concept as work in understanding the need for such a facility and how it could be delivered are at an early stage as it is focusesd at high level issues and does not talk in any detail about specific proposals.

It is however considered that the consultation asks about public aspirations for the delivery of infrastructure thus enabling respondents to raise the opportunity for such a facility and make suggestions for what it would be. …”

https://www.devonlive.com/news/devon-news/could-57000-new-homes-exeter-1948541

Barclays refuses mortgages on controversial Taylor Wimpey new homes – and Taylor Wimpey share price INCREASES!

“Scandal hit Taylor Wimpey has suffered a blow after Barclays refused to offer mortgages at a flagship development because of fears over leaseholds.

The housebuilder is seeking buyers for its Chobham Manor site in the Queen Elizabeth Olympic Park in London but the properties come with complicated leases.

Barclays told one family looking at a property they could not have a mortgage because of a clause which might mean the lease was terminated if one of Taylor Wimpey’s subsidiaries went bust.

If that happened the bank would be unable to get its money back.

Taylor Wimpey has pledged to fix the problem but would not say how many properties were affected at the site, where prices are as high as £1million.

The firm has been criticised for selling leasehold homes with unaffordable ground rents.

Shares rose 1.1% or 1.85p to 170.65p.”

http://www.thisismoney.co.uk/money/markets/article-6108205/Taylor-Wimpey-hit-leasehold-woes.html

“Are developers inflating the prices of homes through Help To Buy? “

“… We have been told by industry insiders that homes being sold under the Government’s Help To Buy scheme are routinely overpriced by as much as 15 per cent.

The experts say property firms are trying to cash in because they know first-time buyers who use Help To Buy can borrow much more money.

The scheme, launched in 2013 to help young people get on the housing ladder, provides an extra 40 per cent loan from the Government to buyers in London or 20 per cent to buyers outside the capital.

This is on top of a mortgage from a bank or building society and means buyers can put down a deposit of as little as 5 per cent.”

http://www.dailymail.co.uk/money/mortgageshome/article-6107805/Are-developers-inflating-prices-homes-sold-Help-Buy.html

“Call to stop landowners making huge profits from speculation”

Owl says: well, duh! How come it took this long to figure out! And the chances of anything being done while some of the big landowners are MPs and many many are Tory party donors … nil.

“Britain should limit the windfall gains of landowners by freezing the value of plots newly designated for housing, according to a thinktank urging sweeping reforms to tackle a national shortage of affordable homes.

Calling on the government to pursue land market reforms similar to the German model, the Institute for Public Policy Research said planning authorities should be given new powers to zone land for development and freeze its price.

It said speculation by landowners awaiting planning decisions that can trigger vast increases in the value of a plot, had the effect of exacerbating wealth inequality and was a “driving force behind the broken housing market” in Britain.

Luke Murphy, associate director at IPPR, said: “Conventional wisdom suggests that the UK has a problem with house prices, but the reality is that we have a problem with land.”

The sweeping reforms would mean national and local government organisations would benefit from the extra value generated by planning decisions, which could be used for local infrastructure or affordable housing, rather than landowners accruing massive returns from the state approving changes in the use of land.

Using the example of a hectare of agricultural land in Oxfordshire that would typically be worth about £25,000, the IPPR said it could skyrocket in value by more than 200 times on approval for residential development to be worth about £5.6m. While the landowner stands to benefit from approval, the increase drives up the cost of building homes.

Two years ago on average the price of land had risen to more than 70% of the price paid for a house, which the IPPR said could rise to about 83% over the next two decades given current trends in the housing market. Options to remedy the problem could include councils buying land and selling at higher prices to developers, or entering into partnerships with landowners to share the proceeds of the sale.

About half of net wealth in Britain is tied in up in land, having risen by more than 500% in the past two decades to stand at £5tn. Although the value of property built on land across the country has also risen, it has increased at a much slower rate, of around 219%.

According to a 2010 report for Country Life, a third of Britain’s land still belongs to the aristocracy, while some of the oldest families in the country have held on to their land for several centuries. The IPPR said the top 10% own property wealth averaging £420,000 in value, compared with the bottom 30% who own no net property wealth at all.

Murphy said: “Wealth inequality, a poorly functioning housing market, an economy focused on unproductive investment and macroeconomic instability are all negative consequences of our current speculative land market. … ”

https://www.theguardian.com/business/2018/aug/28/call-to-stop-landowners-making-huge-profits-from-speculation?

Is YOUR village on the EDDC list for expansion? And another east/west divide

East Devon District Council Strategic Planning Committee are going to discuss:

“Principles for accommodating the future growth needs of East Devon”

on 4 September 2018.

The Committee are being asked to endorse

“The proposed principles for growth” as the basis for future discussion and consultation on accommodating extra growth in the district.”

The document is described as the “start of the debate” for future East Devon growth points for both the GESP (The Greater Exeter Strategic Plan) and the East Devon Local Plan review, which is required to be updated within the next two years.

For the last few years East Devon District Council have achieved their own Local Plan agreed target of 950 dwellings per year. (EDDC Target is 17,100 dwellings between the years of 2013 to 2031).

Recently Central Government decided to calculate each District`s housing requirement targets on a set matrix. East Devon’s build out figure has been set to be 844 homes per year. However, the report suggests that rather than achieve the Government target of 844 new houses per year there is a proposal to build out much higher levels of growth.

The report explains that the objective of higher growth could be achieved by what is called a “Growth Deal” with Central Government where a group of Councils agree to build more housing in return for infrastructure investment from central funds.

This proposed “Growth Deal” is being prepared by the Councils of East Devon, Exeter, Teignbridge and Mid Devon through the “GESP” Greater Exeter Strategic Plan.

It is recognised that Exeter is unable to provide the housing land required to sustain the expected growth of the city, and the rural areas and towns in the rest of the combined area will be required to increase their housing requirements in exchange for the infrastructure improvements for access to and from the city of Exeter.

Improvements to the motorway junctions, new roads, extra park and rides, rail improvements, new stations and an integrated transport system are all identified as priority improvements to overcome the already chronic delays on Exeter`s transport network. There are also aspirations for a “sports hub and concert venue” for Greater Exeter to be included in the GESP infrastructure needs.

The report gives a brief synopsis of the towns in East Devon and concludes that other than the new town of Cranbrook there is limited scope for growth due to the various towns’ proximity to the AONB designated areas, or they are bordering on the coast or close to flood plains.

The conclusion from the report is that the existing towns will only accommodate minimal growth, and with two-thirds of East Devon being included in the AONB of the Pebblebed Heaths or the Blackdown Hills the only area that can accommodate substantial growth is within the North West part of the district.

The report describes this area as the Western most quadrant of this district to the North of Exmouth and West of Ottery St Mary. The land is described to benefit from being relatively flat with no landscape designations. It is also well served by main roads with good vehicle access via the M5, A30, A3052 and A376 and has good existing public transport links with the railway line and existing bus routes.

There are 3 possible ways described as to how development could be achieved in this area.

1. Establish a further new town. Basically, create another Cranbrook. However, the report considers that the creation of another new town in the area could harm the delivery of Cranbrook.

2. Establish a number of new villages. Create a series of modern Devon villages but the report considers that this option would be most damaging in landscape terms.

3. Centre Growth around Existing Villages.

Growth would be required to be substantial with around 400 to 500 extra homes to be added to a number of existing villages (The report does not state how many villages will be required within this area). However, this could harm the character of the village and the existing community.

The new NPPF acknowledges that:

“The supply of a large number of new homes can often be best achieved through planning for larger scale development such as new settlements or significant extensions to existing villages and towns, provided they are well located and designed, and supported by necessary infrastructure and facilities.”

A list of the Parishes within the expansion area for extra housing area

By referring to a map of the area these are the Parishes(villages) which are within the West of the district which could have development of between 400 to 500 extra dwellings, parishes identified could be:

Nether Exe
Rewe
Brampford Speke
Upton Pyne.
Stoke Canon ​

All these Villages are North of Exeter and access is by way of the A377 – which is not listed as one of the featured roads, so it is unlikely these will be included.

Broadclyst
Clyst Honiton
Sowton
Rockbeare
Wimple.​

These Villages are close to Cranbrook and therefore unlikely to be selected to avoid the villages and town merging.

Clyst Hydon
Clyst St Lawrence
Aylesbeare
Marsh Green

These Parishes are remote from a main road or railway station which probably eliminates them because of their unsustainable location.

Lympstone

This Village is already designated in the report to provide growth for Exmouth.

This leaves the following Parishes most likely to be included for further expansion in the proposals:

Poltimore
Huxham
Clyst St Mary
Clyst St George (includes the village of Ebford)
West Hill
Woodbury​ (includes the village of Woodbury Salterton and Exton)
Farringdon.

The “Principles for Growth” which the committee are being asked to agree to:

• A significant proportion of growth to be in the Western part of the district by either a new town or extending a number of villages or building new villages.

• Plus, modest growth in existing towns with strategic growth around Axminster, Exmouth (including Lympstone), Honiton and Ottery St Mary.

• All other Villages to be encouraged to provide modest growth through their Neighbourhood Plans.

• Focus development on main transport corridors if possible.

Conclusion:

For the last few years, East Devon has successfully complied with the government`s Housing Strategy, with their current Local Plan and at present build out rates, this will over subscribe the Government Building Target until the year 2031.

The Government is not forcing East Devon to co-operate with Exeter to provide some of their housing needs. This decision is totally at the discretion of the District Council and their leaders.

Yes, Exeter is a thriving growth city, and it is recognised that the road and rail connections are dire, but why destroy the character of a part of East Devon for these improvements?

The very reason people choose to relocate to Exeter, its surrounding towns and villages is the beautiful Devon countryside; the building of a mass of new housing will simply make the area a mirror image of the existing areas the people are wanting to move away from!

So, to satisfy the aspirations and needs of the City of Exeter, the rural west area of East Devon will be required to build many more houses with either another new town or new villages or building an extra 500 houses to a number of existing village communities.

Will the Strategic Planning Committee endorse this proposal or not?

No development “at the whim of others” says Diviani – but doesn’t make clear who “others” are!

Possible list of “others” who might whim:

Us (likely – those of us living in a constantly concrete East Devon with no services and no infrastructure);

Those desperate for social housing and/or truly-affordable homes (unlikely – never been a consideration for EDDC, unlikely to change now);

Developers (unlikely given EDCC’s highly developer-friendly reputation);

Other members of the “Greater Exeter” consortium (where we and others have to take Exeter overspill whether we lime it or not);

Former members of the East Devon Business Forum (unlikely, mostly developers, they all remain in EDDC’s very good books).

“The government’s latest forecast for the minimum number of new homes to be built in East Devon every year is to be considered by district council planners.

The implications of the requirement for 844 homes to be constructed annually will be discussed by the Strategic Planning Committee at its meeting on Tuesday, September 4.

Members will consider how this growth will impact on jobs, infrastructure and community facilities.

A report explains to the committee that the government’s latest housing needs calculation should be taken as a baseline figure only and is likely to increase as a further strategy for growth emerges in the future.

It says the latest forecast doesn’t take into account wider changes in East Devon over the last few years such as higher than normal economic growth which led to an increase in housing need in the current Local Plan.

The report identifies key themes to be considered by the committee to ensure future growth in the district is ‘positive and sustainable’. The themes include healthy and prosperous communities, environmental protection and enhancement, resource consumption and climate change and economic growth, education and employment.

A number of key issues are identified under each of these themes with set principles for a future growth strategy. These include delivering housing to meet the needs of all areas of the community, limiting growth within Areas of Outstanding Natural Beauty, protecting areas at greatest risk of flooding and ensuring adequate employment space is provided to meet the needs of businesses.

The report also considers locations in the district and how they are able to accommodate growth that meets the principles. Many of East Devon’s existing towns are heavily constrained while some have clear opportunities to grow and expand. It considers opportunities around existing villages and for new communities to accommodate the levels of growth required by government.

Committee chairman Paul Diviani said: “Planning for the future of our outstanding place will ensure we put the right developments in the right place and are not subject to the whims of others. The government is setting out its requirements of all local authorities and we now need to ensure we respond in a way that works for us.”

http://www.midweekherald.co.uk/news/figure-set-at-844-annually-1-5665950

“Persimmon profits rise 13% after help-to-buy boost”

Owl says; Summary – take care of your donors and they will take care of you.

“The housebuilder Persimmon has reported that its profits rose by 13% in the first half of the year, boosted by the government’s help-to-buy scheme and competitive mortgage deals.

Pretax profits jumped to £516m from £457m in the six months to 30 June, and Persimmon said it expected further growth in the second half of the year, bucking the wider trend of a slowing UK housing market.

“We have continued to experience good levels of customer interest in our housing development sites as we trade through the quieter summer season,” said the Persimmon chief executive, Jeff Fairburn.

“Customers are continuing to benefit from a competitive mortgage market and confidence remains resilient based on healthy employment trends and low interest rates.”

Britiain’s second biggest housebuilder angered shareholders earlier this year after handing Fairburn a £75m bonus. A report published last week by the High Pay Centre revealed Fairburn was the highest paid FTSE 100 boss in 2017, with a £47.1m package.

Persimmon sold 8,072 new homes in the first half of the year, up 4%. The average selling price increased by 1%, to £215,813.

The housebuilder has been one of the biggest beneficiaries of the government’s help-to-buy programme, which has lifted sales and supported house prices across the UK. …”

https://www.theguardian.com/business/2018/aug/21/persimmon-profits-rise-housing-market-help-to-buy

New homes: extra small and privacy only in the toilet

“New homes are 20% smaller than they were in the 70s, a study has found.

Families today squash into houses just 65sqm big, quarter of the size of a tennis court.

But while homes may be shrinking, their prices are expanding. In 1971, the average cost was £5,632, with wages being around £2,000 a year.

Now, buying a house sets us back on average £228,400 and pay is £27,000.

The study by the Royal Institute of British Architects of new pads on sale in 20 cities found kitchens are around 25% smaller than in the 70s, while bedrooms and ­bathrooms have 20% less space.

Riba president Ben Derbyshire said: “This becomes a critical problem for families. In a two bed, four person home there is no space to be on your own except in the ­lavatory.”

Homes in London are the most cramped, with Glasgow second on the list.

But the Home Builders ­Federation insisted smaller houses are making it easier for first time buyers to get a property.”

https://www.mirror.co.uk/money/british-houses-shrinking-property-prices-13111497

Cranbrook: plans to vastly extend town to be published soon

Just a coincidence that this is announced just after Exeter City Council refuses the first of four large retail development applications close by …..

“Expansion plans for Cranbrook are set to be revealed by the end of the year, revealing proposals to increase the number of households to nearly 8,000 over the next 15 years.

The first houses in the new town were built in 2012 and there are currently 1,700 households living there.

Alongside the residential part of the development, further details are expected for the town centre, to be built on land next to the Cranberry Farm pub.

The proposals include 13 retail units, a town hall with a library and auditorium, a health and well-being centre and a leisure centre.

The Local Plan anticipates Cranbrook will have 7,850 new homes by 2031, equating to a population of about 20,000 people.”

https://www.bbc.co.uk/news/live/uk-england-devon-45186923

” One in every 11 houses is a second home in South Hams”

With a knock-on effect across Devon on those locals desperate for local housing.

“One in every 11 residential properties in part of Devon is an unoccupied second home, new analysis has revealed.

Official government figures show that 3,896 dwellings in the South Hams area were classed as “second homes” for council tax purposes as of October 2017.

This means that while they are unoccupied for most of the time, they are fully furnished and so aren’t officially considered “empty homes”, even though no one permanently lives there. …”

https://www.devonlive.com/news/devon-news/one-every-11-houses-second-1908104

“Government £200m brownfields building fund falls flat, as number of new homes declines”

A £200million Government fund to pay for more homes on industrial land has resulted in the opposite effect, with fewer homes built on brownfield areas than before it was set up.

Official Government’s land use change statistics show that the proportion of new homes registered on previously developed land has fallen by 4 percentage points since 2014, when the fund was set up.

Yet over the same period the number of new residential addresses on supposedly heavily protected Green Belt land has increased by the same proportion – 4 per cent.

Separately, over the same period – 2013/14 to 2016/17 – the proportion of new residential addresses on the protected Green Belt land increased from 3 per cent to 4 per cent of all new homes built.

The Government’s record on building on brownfield sites was attacked by Labour which said minister’s commitment to building on brownfield sites was “hot air”.

The £200million fund was announced by Brandon Lewis, the current Tory party chairman and then then-Housing minister, in August 2014 so “councils across the country can now team up with developers and bid for government assistance to build thousands of new homes on previously-developed land”.

Mr Lewis published bidding criteria to create 10 housing zones on brownfield land, each able to deliver up to 2,000 new homes each.

The new zones, which will be outside London, should be large enough to deliver 750 to 2,000 properties and would help councils boost housebuilding on previously-developed land while safeguading the countryside, he said.

However John Healey MP, Labour’s Shadow Housing Secretary, said the figures showed that the Government had gone backwards on its pledge to encourage more building on brownfield sites.

He said: “If hot air built homes then Ministers would have fixed our housing crisis. Despite big promises to get building on brownfield land, official Government figures show we’ve gone backwards.

“It’s clear that Ministers are failing to get good value-for-money for taxpayers.

“By giving developers a free rein to do what they want, the Government is failing [to] get homes for local people built where they are needed.”

Matt Thomson, Head of Planning at the Campaign to Protect Rural England, backed the findings, saying that “promises to build the homes the nation needs while protecting the countryside are not being carried through.

“Our analysis of the government’s new ‘planning rulebook’ suggests that despite a lot of warm words current trends will continue, to the detriment of both town and country.

The government must stick to its guns and end this constant cycle of broken promises.

“They need to rein back greenfield development where suitable brownfield land is available, and discourage growth where it cannot happen without compromising their own policies intended to manage sprawl and protect open land.

Last week the CPRE warned that green belt was disappearing at an “alarming rate” with the equivalent of 5,000 football pitches lost because of a relaxation of planning laws.”

Source: Sunday Times (pay wall)

“Help to Buy mess as taxpayers subsidise thousands of homes for couples earning more than £100,000”

“Thousands of wealthy families are taking advantage of a taxpayer scheme designed to help struggling first-time buyers get on the housing ladder.

More than 6,700 households with incomes over £100,000 have bought homes using Help to Buy, according to the government’s own figures.

The scheme provides taxpayer cash to people seeking a mortgage. But despite its original aim to help people who could not afford big deposits, nearly one in 20 households with support have six-figure incomes.

And families with incomes of £50,000 or more have now received 40 per cent of loans, according to the report by the Ministry of Housing, Communities and Local Government.

Of the families who used the scheme, 136,700 were first-time buyers. A fifth of families using the scheme were not first-time buyers.

There is no maximum income on the Help to Buy scheme, which applies to new-build homes.

The scheme allows house hunters to purchase new-builds worth up to £600,000 using deposits of only 5pc – or £30,000.

The Government loans up to another 20pc interest-free for five years – or £120,000. In London, the taxpayer loan can reach 40pc of the value of the property – or £240,000.

When the house is sold, the government takes the same proportion of the sale price. If it goes up, the government makes money. If it goes down, the taxpayer makes a loss.

Campbell Robb, Joseph Rowntree Foundation chief executive, said a lack of cash invested in affordable housing meant more pressure on families forced to rent.

A government spokesman said: ‘The majority of those using our Help to Buy Equity Loan scheme had household incomes of £50,000 or less.’ “

http://www.dailymail.co.uk/news/article-6068919/Help-Buy-mess-taxpayers-subsidise-thousands-homes-couples-earning-100-000.html