Green paper welcomed

3 million homes the ambitious target by 2020

The government's housing green paper has been welcomed as "great news for developers" by the United Trust Bank (UTB).

However, the organisation which facilitates funding to property developers warns the government must follow through with planning reform to streamline the process in order to meet building commitments.

Recently communities secretary Hazel Blears announced a review into the planning process in the UK with a view reducing red tape and cutting bureaucratic restrictions.

The government is under immense pressure to deliver more affordable housing to tackle the national shortfall, which has been one of the primary drivers of price increases in recent years.

Plans to tackle the issue, with the building of three million homes by 2020, were outlined last year with the housing green paper presenting plans of how the government will deliver this ambitious target.

"Over the decades criticism has been levied at the government for the complex planning system which often hinders rather than facilitates regeneration," said Roger Tidyman, managing director of UTB.

"Even worse, is the familiar and frustrating scenario created by the system, that sees developers, local authorities and communities become opponents instead of working together to create better neighbourhoods.
"Fortunately, it seems that the government is finally taking note and is taking positive steps to reshape the beleaguered planning process."

The UTB has singled out four points of the present green paper which are of greatest interest to the industry:

Reintroduction of New Town powers, with local authorities and developers invited to submit plans for ten new eco-town schemes, each providing between 5,000 and 20,000 zero carbon rated homes.

More New Growth Points and the extension of this programme to northern cites and towns.

Planning incentives and enforced targets for local authorities to reduce obstacles to delivering housing and strengthening the requirements on developers to commence development once land has been purchased.

Up to £8 billion programme to increase the supply of affordable housing, providing new opportunities for local authorities, housing associations and the private sector to build and manage new affordable housing.

"It is vital that the bill is passed and the government remain steadfast to its aims," continued Mr Tidyman.

"Major infrastructure decisions must be made without prejudice and in a timely fashion if the UK is to bring renewable sources of energy, waste facilities and transport infrastructure to support the major building programme; and fill the gap in the supply chain of affordable housing."