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The Future Delivery of Housing Steve Normington Director of Economy

The Future Delivery of Housing Steve Normington Director of Economy Confident Places Scrutiny Committee. National policy context. Nationally, housing delivery has dropped from the peak in 2007/08, continuing low levels. Affordability and access to the market continues to be problematic.

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The Future Delivery of Housing Steve Normington Director of Economy

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  1. The Future Delivery of Housing Steve Normington Director of Economy Confident Places Scrutiny Committee

  2. National policy context • Nationally, housing delivery has dropped from the peak in 2007/08, continuing low levels. • Affordability and access to the market continues to be problematic. • New housing and planning policy – NPPF, New Homes Bonus aims to encourage greater delivery. • Financial support – HelptoBuy, Affordable Homes Programme, Self financing of Housing Revenue Account • Welfare reform – impact on social sector

  3. Local policy context • Wigan Core Strategy now adopted • Housing requirement of 15,000 to 2026 • 25% affordable housing requirement • SHLAA 2013 update • Housing Strategy priorities • Increasing housing delivery • Welfare reform • Private rented sector • Connecting housing with care

  4. Wigan’s Market Context • Average property price in Wigan is £132,700 • Continued low levels of sales transactions • Prices below GM, NW and national average • Above average owner occupation rates (68%) • Significant growth in private rented sector, 148% increase in period 2001-11 • Above average proportion of semi-detached (46%), very few flats/apartments (9%) • Low numbers of empty homes

  5. Demographic trends • Wigan’s population was 317,800 (Census 2011) - an increase of 16,300 (5.6%) from 2001 • 1 in 6 people are aged 65 or above • Average household size is reducing and average age increasing • More people living alone • More people living longer with long term health conditions • Forecasts for 2021: • Population to grow by 6% • Population aged 65+ to grow by 24% • Household growth of 8%, 11,000 additional households

  6. Population forecast to 2021

  7. Affordable Housing Needs • 3,300 on council waiting list, 1,600 requesting a transfer • 62% require one bedroom, 24% two and 10% three

  8. Affordable housing needs • Overall increase in need – estimated shortfall in delivery of 358 units per year • Hidden need in the Private Rented Sector – 33% of applicants • Smaller households – singles and couples 62% of applicants • Ageing population – 24% aged 60 or over • Specialist accommodation • Need for a more diverse housing offer to address these needs.

  9. Affordable housing trajectory • Planning to deliver 689 new affordable homes over 5 yrs • 90% committed as rental, need to increase delivery of affordable home ownership • Focus on working with private developers to provide access to the market – shared equity

  10. Future affordability • Forecast increase in house prices / rents • Forecast increase in wages • Economic performance • Living costs / inflation • Interest rates • Supply and type • Housing policy and investment • A number of scenarios could apply!

  11. New housing delivery • New build delivery has decreased from a peak in 2007/08 • Housebuilders generally building large detached houses • Very few smaller homes, apartments and bungalows • Lack of diversity in housing offer • Large proportion of affordable homes (24% of new homes in 2012/13)

  12. Net housing completions

  13. Housing trajectory • Delivery anticipated to increase as large schemes come forward, including Northleigh and the Broad Locations Source: Wigan Core Strategy

  14. Housing land supply • 5.19 year supply (2013-18) • 16.62 year supply (2013-28) • Over 80% of land supply in the east-west core • Source: SHLAA 2013 update

  15. North Leigh • Key Strategic Site • Outline permission for mixed use development • 1,800 homes • New road infrastructure

  16. South of Hindley • Broad location for new development • 2,000 homes • New road infrastructure • Links to Greenheart • Outline planning application in 2014

  17. Landgate, Bryn • Broad location for new development • Approx 300 homes • New road infrastructure • Links to Greenheart • Outline planning application in 2014

  18. East of Atherton • Broad location for new development • Approx 600 homes • Proximity to Atherton Station, Cutacre and M61

  19. Garrett Hall, Astley • Broad location for new development • Approx. 600 homes • Outline permission (subject to s106) • Proximity to Leigh Guided Busway and A580

  20. Westwood Park, Wigan • Pending Outline application • 430 homes • Associated retail and employment development • Council ownership • Strategic location

  21. Standish • 1,000 homes • Early delivery • Greenfield sites

  22. Golborne and Lowton • 1,000 homes • Early delivery • Greenfield sites

  23. Wigan SHMA 2014 • SHMA 2014 in preparation • Different policy and market context • Analysis of demographic, economic and housing market signals • Identify breakdown of house type, tenure and size needed • Our ability to meet these needs through future supply

  24. Thank you for your timeand attention.Questions and Answers

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