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Supply and demand – Boosting supply in rural areas

Country landowners have drawn up a new housing strategy that identifies broadband access, regulation and capacity as key concerns, says Danielle Troop

The 3,482 membership of CLA Wales is comparable to that of the National Landlords association and the Residential Landlords association and many CLA members are significant providers of residential accommodation in their areas. They typically have long-term, multi-generational interests in places and their communities. For a variety of reasons, both economic and social, many landowners are keen to grow the size of the housing stock in their areas.

A working group was created in May 2012 to guide the development of a CLA housing policy in response to the views of CLA Wales members on this crucial area of work. The report, Tackling the Housing Crisis in Wales, launched at a September 2013 meeting with the housing and regeneration minister, is the result.

It illustrates the roots of the current housing crisis and calls on the Welsh Government to deliver policy change through the scheduled 2013 Welsh Housing Bill and Housing Act thereafter. The recommendations have been formulated to reflect a world where, to work effectively as a member of the knowledge economy, you no longer have to live in an urban location.

In taking this approach, Tackling the Housing Crisis in Wales is offering a fundamental shift in outlook – one where earnings generated through a fibre-optic cable can be used to support local services in often remote, low-value but arguably beautiful, locations – thus smoothing land values and ensuring rural settlement sustainability. The CLA in Wales and England has generated a high profile by lobbying hard for extended rural broadband coverage. Ensuring that a wide range of households can both live and work in the countryside is the natural progression to securing an effective rural broadband service.

The policy acknowledges the only partially successful efforts to improve the rural economy via Technical Advice Note 6 (TAN 6) and welcomes the move towards ever more strategic planning in Wales – whilst requesting a step change in design quality policy (TAN 12). Inflexibilities within the current tax regime and the limited ability of the Welsh Government to deliver amendment are identified as key lobbying roles for Welsh ministers.

Our affordable housing tax reform proposals are aimed at existing and new stock with market-rented housing tax reform aimed at new stock only. However, the absolutely key CLA concern with the current direction of travel in Welsh housing policy is that regulation has been promoted to the detriment of housing supply for both existing and new stock.

Following CLA attendance at the Welsh Government Housing Supply Task Force evidence session in Cardiff, a final, additional recommendation was added to the policy. This seeks to recognise the devastating effects of the 2007 property crash on the house building industry in Wales and the perceived lack of capacity of the sector to step forward and build out small and medium sized sites. The final recommendation proposes that the Welsh Government should consider

• the capacity for future house building, across a range of sites, via off-site manufacture of timber framed housing units

• the ability for off-site manufacture of timber framed housing units using home grown product, manufactured in Wales

• stimulation of off-site manufacture of timber framed housing units via the Rural Development Programme and other funding sources, including tax breaks, as a means to increase economic activity in Wales through new house building and supply chain activity.

Despite such late additions, delivery of the policy has already started. The CLA submitted an Expression of Interest to the Build to Rent Fund in England and is lobbying to see that programme extended into Wales via Welsh Government innovative finance and land supply teams. In terms of existing stock, action has also been taken to source an Energy Company Obligation (ECO) partner. Meetings have also been held with individual local authorities specifically regarding:

• affordable housing models and the ability for landlords to retain stock;

• nomination agreements and local lettings policies;

• housing allocations; and

• rural economic development strategies incorporating housing.

Danielle Troop is housing advisor to the CLA. For copies of the CLA policy, please go to http://www.cla.org.uk/ or contact CLA Wales communications manager Catherine Hughes catherine.hughes@cla.org.uk


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