Article: Affordable housing through the planning system--does it make housing more or less affordable: Barry Pearce looks at the economic impacts of attempts to implement a policy of producing new affordable housing through the planning system, and at the market's response.(planning and affordable housing)

PERMITTED AND indeed positively encouraged by government guidance, local authorities are increasingly imposing an affordable housing requirement on new private housing developments. A recent study for the Joseph Rowntree Foundation (JRF) has found that section 106 planning agreements accounted for almost half of all affordable housing provision in 2003, and the proportion is increasing. (1)

Typically, planning permission for market housing is granted subject to a proportion of each development being classified in some official way as 'affordable'. A requirement of around 25-30 per cent of the dwellings being provided seems to be the current norm, although the ...

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