Document suggests councils may have to cut back their requirements for affordable housing

Councils may have to cut back their requirements for affordable housing and infrastructure contributions on housing schemes in order to give developers acceptable profits, according to a leaked draft of a major planning document.

The final version of the National Planning Policy Framework (NPPF) is expected before the end of the month. The leaked draft, seen by Building, says “the sites and the scale of development-identified in the plan should not be subject to such a scale of obligations and policy burdens that their ability to be developed viably is threatened.”

It adds that developers should be able to expect “acceptable returns.”

The draft, dated 13 June, proposes that developers’ financial contributions, such as the new homes bonus and community infrastructure levy, can be considered when granting planning permission. It says councils should identify five years’ worth of housing land plus an additional allowance of at least 20% to ensure choice and competition for land.

The Home Builders Federation welcomed the idea that councils would have to ensure the viability of their requirements.

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