Leasehold reforms could kill off community led affordable housing in the UK
The UK Government’s proposed leasehold reforms could become a stranglehold for community led affordable housing providers, it is suggested.
A housing organisation is calling for community led housing to be exempt from the changes as they could jeopardise the building of thousands of new homes.
Through Community Land Trusts (CLTs), leases are used to retain the control of land to ensure that prices are forever affordable and this approach to leasehold enables CLT properties to be aligned to what people earn in the local area.
The National Community Land Trust Network wants the Government to protect community led housing by exempting CLTs from the ban and along with UK Cohousing, it is calling for the introduction of a Code of Conduct for Public Interest Leases, where best practice of the leasehold market is promoted.
‘Community Land Trusts have played no role in the exploitation of leasehold. While we support the consultation’s goal of addressing the unfair and unreasonable abuses of leasehold by developers and private investors, CLTs are one of a few approaches using leasehold to deliver genuinely affordable housing,’ said Catherine Harrington, director of the National Community Land Trust Network.
‘That’s why we are calling for the government to exempt CLTs and other affected community led housing models from this proposed ban. CLTs are a form of community led housing, set up and run by ordinary people who want to help people in housing need,’ she explained.
‘It’s the fastest growing housing model in the UK. We hope other responsible housing providers will join us to campaign for a Code of Conduct for Public Interest Leases,’ she added.
Kindly shared by PropertyWire