Empty Homes in London 2005-6
March 2006
copyright
Greater London Authority
March 2006
Published by
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ISBN 1 85261 836 1
Cover photographs © Empty Homes Agency
Acknowledgements
Thank you to the Empty Homes Agency, Association of London
Government, British Property Federation and Housing Corporation for
their contributions to this report.
Contact
Please contact Chris Smith at the GLA if you have any enquiries about the
report or if you have any ideas and suggestions for future reports
(tel 020 7983 5770, chris.smith@london.gov.uk).
This report is also available at www.london.gov.uk.
This document is printed on 75 per cent recycled paper,
25 per cent from sustainable forest management
Mayor of London
Empty Homes in London 2005-06
contents
Foreword by Ken Livingstone, Mayor of London
i
1 Background and the current position
1
2 London housing strategy, regional funding and targets
6
3 The views of some of our partners
10
4 News and policy developments
15
Appendix: tables
20
Mayor of London
Empty Homes in London 2005-06
Mayor of London i
Empty Homes in London 2005-06
foreword
The government’s response to the Barker Review recognises the
importance of making the best use of the existing housing stock to meet
housing need and demand and to create sustainable communities. Housing
need in London remains at historically high levels and demand for new
homes will only increase as the population grows over the coming years.
The lack of sufficient good quality affordable homes means that
thousands are homeless or living in unsuitable housing. It also threatens
the continued economic prosperity of the capital.
My target, set out in the alterations to my London Plan, is to deliver
31,000 homes each year. As well as new house building, this means
returning as many empty homes as possible to use, particularly those that
have been empty for long periods. I am delighted that the total number
of empty homes has fallen by nearly 8,000 in the year to April 2005. This
is the largest reduction for five years, bringing the total to the lowest level
since the 1970s.
The fall of 500 in the number of long-term private sector empty homes
over the year is, however, more modest. It is the 36,200 long-term empty
homes in London that must be the focus of our efforts. New measures
such as Empty Dwelling Management Orders are a new tool that can help
return these homes to use.
The London Housing Strategy 2005-2016 sets out the importance of
tackling empty homes and includes a delivery plan and challenging new
targets for reducing the number of empty homes over the next ten years.
I expect to take over responsibility for the London Housing Strategy later
this year and will continue to give high priority to this issue by working
with partners to ensure that the Strategy is delivered.
Statements by some of my main partners are included in this report and
these demonstrate the consensus that exists for returning empty homes
to use and also the commitment to make this happen.
I look forward to building on the progress we have made over the past five
years and I am confident together we can achieve the targets I have set.
Ken Livingstone
Mayor of London
© Liane Harris
ii Mayor of London
Empty Homes in London 2005-06
Mayor of London 1
Empty Homes in London 2005-06
1 background and the current position
Empty homes – why do they matter
1.1 Empty homes are not just a concern to those who own them - they have
implications for the wider communities in which they are located.
Empty homes are undesirable because they:
• are a wasted resource, denying opportunities to those in housing need,
• provide a target for petty crime and anti-social behaviour such as
graffiti and vandalism,
• can blight neighbouring properties and in some cases threaten the
sustainability of whole neighbourhoods,
• can directly affect the condition of neighbouring properties, if poorly
maintained, leading to physical decline,
• could be used to ease pressure on the housing stock and reduce the
necessity to develop on greenfield land.
1.2 Empty homes also represent a wasted opportunity for owners, in terms of
the financial gains that could be made by them selling, letting or leasing
their property.
Numbers
1.3 In April 2005, there were 91,200 empty homes in London. This includes
empty homes in both the private and public sectors. Of the total, 74,800
are private sector empty homes (82 per cent), of which 36,200 have been
empty for longer than six months. Tables 3 and 4 in the appendix give a
breakdown by borough and tenure.1
London
England
Source: ODPM
1 Data are from the Housing Strategy Statistical Appendix, Section A, April 2005. ODPM
collates, validates and releases the data annually.
2 Mayor of London
Empty Homes in London 2005-06
1.4 There has been a downward trend in the total number of empty homes in
London since the peak in 1993. The number levelled out in the period
from 2002 to April 2004, but the largest fall in the total number for five
years took place last year. Empty homes represent 2.9 per cent of the
total housing stock in London. This compares to the national proportion
of 3.1 per cent (Figure 1) and the proportion in London has been below
the national level since 2000.
1.5 Figure 2 shows the trend in the total number of empty dwellings in
London from 1978 to 2005, the period since records were first collected
in their current form. This shows that the total number is at its lowest
level since the 1970s.
Source: ODPM
1.6 The proportion of social housing (local authority and RSL) and other
public sector empty homes in total remains at around 2 per cent of
housing stock, well below the proportion in the private sector. Within this,
the number of local authority voids rose during the year, from 8,952 to
9,619. This represents, however, half the number of empty homes
reported for local authorities during the mid-1990s. This demonstrates
success in tackling empty homes over the past 10 years, though it is also
partly explained by substantial reductions in local authority stock over
that period.
1.7 There was a small reduction in the number of empty homes managed by
RSLs in the year to April 2005, despite an increase in total RSL housing
stock. There were 5,826 empty RSL homes in April 2005 (Table 2).
1.8 The percentage of private housing stock empty fell from 3.5 to 3.1 per
cent of the stock in April 2005. However, empty private dwellings still
account for 82 per cent of all empty homes in London (Figure 3). For this
Empty Homes in London 2005-06
reason, the main focus of attention in the London Housing Strategy is on
reducing the number of empty private sector dwellings, particularly those
that have been empty long-term.
Source: ODPM
Long-term empty homes
1.9 The housing market requires a certain proportion of homes to be empty
at any particular point in time, for transactional reasons. In other words, it
is necessary for some homes to be vacant while they are being sold, let or
repaired. A common characteristic that distinguishes transactional empty
homes from non-transactional is the length of time a property has been
vacant. This is the reason that we focus most attention on long-term
empty homes; which is normally defined as those that have been empty
for longer than six months.
1.10 In London, 36,200 private homes have been empty for longer than six
months, a fall of about 500 compared to the previous year. This
represents 1.5 per cent of total private sector housing stock.
Local authority profile
1.11 Borough level figures for private sector empty homes are generally based
on Council Tax records, since owners must register their properties as
empty for Council Tax purposes. Although this is likely to be the best
available single source of data, there will inevitably be some degree of
inaccuracy, for example caused by owners failing to register their empty
properties. Within the limitations of the data, however, the borough-level
Mayor of London 3
4 Mayor of London
Empty Homes in London 2005-06
figures provide a broad indication of the challenge across London and the
trend over time (Tables 1-4).
1.12 Five London local authorities reported a proportion of total empty homes
less than two per cent of housing stock (Kingston, City, Lambeth,
Hounslow and Havering). On the other hand, three boroughs reported a
proportion of 4 per cent or slightly over; Hackney, Kensington & Chelsea
and Southwark. We know from Census data, however, that concentrations
of empty homes exist in smaller areas within boroughs, even where the
overall proportions are relatively low.
Housing need and supply in London
1.13 At the same time as more than 36,000 homes have been lying empty for
longer than six months, housing need in London has reached historically
high levels:
• There were around 30,000 households accepted as homeless by
London’s local authorities in each of the five years to April 2004. This
fell to just less than 27,000 in 2004/05, but is still about 22% of the
total for the whole of England.
• There are 63,000 homeless households currently living in temporary
accommodation, having been placed there by local authorities because
permanent housing is not available. A further 4,000 are “homeless at
home”, having made their own temporary accommodation
arrangements.
• 150,000 households are overcrowded and 61,000 are severely
overcrowded (2001 Census). The level of severe overcrowding
increased by almost 50% between 1991 and 2001.
1.14 These are some indicators of existing housing need. In the future,
however, London’s population is projected to increase by over 800,000
between 2001 and 2016. This could lead to an increase of 336,000
2
households over the same period, 22,400 a year over the 15-year period.
1.15 The Mayor’s London Plan (spatial development strategy) sets out the
housing supply targets necessary to meet existing and projected housing
need. Targets include the contribution that could be made by returning
empty homes to use. Targets for net additional homes comprise
“additional dwellings provided through development and redevelopment,
and conversions from residential and non-residential properties, together
with long-term vacant properties brought back into use and household
spaces in new non-self contained accommodation”. Policy 3A of the Plan
states that:
2 The Mayor’s London Plan, February 2004, www.london.gov.uk
Mayor of London 5
Empty Homes in London 2005-06
‘ Boroughs should promote the efficient use of the existing stock by
reducing the number of vacant, unfit and unsatisfactory dwellings. They
should produce and implement comprehensive empty property strategies
including targets for bringing properties back into use. These strategies
should be monitored on an annual basis and be subject to regular
review.’
1.16 The Mayor’s 2004 London Housing Capacity Study provided new
estimates of housing capacity for the period 2007/08 to 2016/17 that
will underpin new housing provision targets in the London Plan. The
estimates include the contribution that could be made from long-term
empty homes returned to use. London-wide, the Study estimates that
housing capacity from this source will be 11,509 net additional homes
between 2007 and 2017 (that is empty homes returned to use net of
those becoming empty over the period). The breakdown by London Plan
sub-region is shown below:
Sub-region
Vacant dwellings
Share of vacant dwellings
Central
East
North
South
West
London total
1,799
1,094
2,845
2,586
3,185
11,509
16%
10%
25%
22%
28%
100%
Source: The Mayor’s 2004 London Housing Capacity Study, July 2005
6 Mayor of London
Empty Homes in London 2005-06
2 London housing strategy, regional funding
and targets
2.1 The GLA is a member of the London Housing Board (LHB), alongside the
Government Office for London, the London Development Agency,
Association of London Government, Housing Corporation and English
Partnerships. The LHB is currently responsible for producing the London
Housing Strategy and making recommendations to Ministers on the
allocation of the London Housing Pot (capital funding for housing). The
responsibilities of the London Housing Board are expected to pass to the
Mayor later this year.
2.2 The London Housing Strategy 2005-2016 sets targets for a reduction in
the numbers of empty homes and the means by which this could be
achieved.3 The targets laid down in the Strategy are:
• To reduce the overall number of empty homes to 2.5 per cent of the
total stock by 2016. At current stock levels, this represents a reduction
to 79,800 empty homes.
• To reduce the number of private sector homes that have been empty
for longer than six months to at most one per cent of total private
sector stock by 2016. At current stock levels, this represents a fall in
numbers to 24,000.
2.3 In the strategy it is proposed that the main means by which the targets
will be achieved are:
1) Local authorities making full use of new statutory powers to make
Empty Dwelling Management Orders (EDMOs) as well as making the
most effective use of existing powers such as Compulsory Purchase
Orders (CPOs).
2) Boroughs setting up sub-regional arrangements to enable them to
work together more effectively to tackle empty homes. This can help
achieve economies of scale and enable sharing of specialist skills and
knowledge.
3) Providing owners of empty properties with information and advice
about rental opportunities, including information on potential income
they could generate and advice about commonly perceived risks of
renting out property and how to manage them.
4) Encouraging Housing Associations to play a greater role in refurbishing
empty properties and renting them out, by providing them with
funding for purchasing or leasing empty properties, including
properties in disrepair, where this offers good value for money and
where rents can be kept at reasonable levels.
5) Promoting better communication and cooperation between local
authorities, RSLs and the private sector. This can be achieved through,
3 Capital Homes, London Housing Strategy 2005-16, www.gos.gov.uk/gol/
Empty Homes in London 2005-06
6)
7)
8)
9)
for example, Empty Property Forums, where all the partners meet to
exchange views and to tackle the barriers to getting involved locally.
Encouraging public landlords to consider letting to short-life groups
where properties are awaiting refurbishment or demolition.
Local authorities and sub-regional partnerships funding area renewal,
including returning flats above shops and redundant premises to use.
Local authorities providing grants and loans to empty property owners
in return for nomination rights to help meet housing need.
All boroughs working to remove or further reduce Council Tax
discounts on long-term empty homes.
2.4 Lead organisations for these actions are identified in the Delivery Plan
appended to the London Housing Strategy report.
Regional Funding
2.5 The London Housing Board made recommendations to Ministers on the
allocation of the London Housing Pot 2006-08 (capital funding for
housing).4 £30m was recommended in the London Housing Pot, over two
years, to enable local authorities and RSLs to return additional empty
homes to use.
2.6 Funding of £15m would be made available to RSLs for the acquisition of
private sector empty properties that would be leased for up to 25 years
for social rented housing. Local authority sub-regional partnerships have
submitted bids for a further £15m funding for sub-regional or Londonwide empty homes schemes.
2.7 The GLA has worked with the London Housing Board on the process of
allocating this funding. The Government Office for London is leading on
allocation of funding to local authorities (sub-regional partnerships) and
the Housing Corporation to housing associations.
Targets and achievements
2.8 The Mayor launched the first London-wide target for returning empty
homes to use in 2002. The target was based on Best Value Performance
Indicator 64 – each year individual local authorities have to report on the
number of empty private sector properties returned to residential use as a
result of action they have taken. The Mayor’s target was intended to
highlight the issue of empty homes and to provide a measure of the
extent to which local authorities were addressing the problem.
4 London Regional Housing Pot 2006-08: Funding Recommendations, London
Housing Board, www.gos.gov.uk/gol/
Mayor of London 7
8 Mayor of London
Empty Homes in London 2005-06
2.9 This target, however, only provided a partial picture of movements in the
number of empty homes. It took no account of properties becoming
empty during the year, or of homes returned to use by some other
agency. In addition, over time, local authorities used an increasing range
of different methods to report performance against BVPI 64, meaning
that comparisons between local authorities and over time became
difficult. From 2005/06 therefore, this London-wide target is being
replaced by progress towards the new targets in the London Housing
Strategy (see 2.2 above and 2.10 below).
2.10 The previous target, based on number of homes returned to use as a
result of action taken by London local authorities, was exceeded in each
of the three years to 2004/05: -
2002/03
2003/04
2004/05
Target
Achievement
2,600
3,500
3,500
3,395
3,595
3,639
2.11 The trajectories for meeting the targets in the London Housing Strategy
2005-2016 (2.2 above) are as follows:
2.12 According to the trajectory for the total number of empty homes in
London, the total in April 2005 would be around 96,000 to be on track to
meet the target. In fact, as set out in the previous chapter, there were a
total of 91,200 empty homes in London in April 2005. The fall in the total
number of empty homes between 2004 and 2005 was the largest yearon-year reduction for five years.
Empty Homes in London 2005-06
2.13 To meet the overall target for long-term empty homes, the trajectory for
April 2005 is an estimated 35,500. In fact the total was 36,200, slightly
behind target, London-wide, at this early stage. The London Plan team at
the GLA carries out monitoring of progress towards this target, at a
borough level, as part of their general monitoring of overall housing
provision targets.
Mayor of London 9
10 Mayor of London
Empty Homes in London 2005-06
3 the views of some of our partners
3.1 The Mayor works with a range of partners, public and private, in
highlighting the issue of empty homes and developing ways of bringing
more homes back into use. In this section, some of the Mayor’s major
partners give their views on the importance of returning empty homes to
use and what can be done to tackle the problem. We hear from the Empty
Homes Agency, the Association of London Government, the British
Property Federation and the Housing Corporation.
The Empty Homes Agency
Since our last contribution to the GLA report on empty homes, there has
been substantial progress made in the campaign to bring more empty
homes back into use to meet housing need.
Undoubtedly top of the list was the successful passage of the Housing
Act 2004 onto the statute book in November 2004 with the new powers
for local authorities on tackling long-term private empty homes. These socalled ‘Empty Dwelling Management Orders’ are already acting as a huge
catalyst for local authority action on empty homes, and across London we
know that many London boroughs are actively preparing to use these new
powers when they become operational this year.
We also know that an increasing number of London boroughs are using
their power under the Local Government Act 2003 to abolish the discount
on Council Tax on empty property. This was another long-running Empty
Homes Agency campaign and it is great to see the London boroughs
using these new powers to remove the perverse incentive for owners to
keep property empty.
It has also been excellent to see the priority that the London Housing
Board has given empty homes, and indeed the increasing interest from
the Housing Corporation and the London Housing Federation. We have
also been delighted at the ring-fenced money now being made available
to encourage work on empty homes in the capital.
Our Hotline in London, part funded by the Mayor, continues to go from
strength to strength. This development has undoubtedly been fuelled by
our collaboration with the BBC on the BBC2 series, ‘How to Rescue a
House’. We have been acting as the official advisor to the series, and a
member of the Agency team has written the Penguin Book of the series.
This information on tackling empty homes encouraged much wider public
interest in the potential of empty homes in meeting housing need.
Empty Homes in London 2005-06
We are also developing the links between empty homes and the
sustainable development agenda. We intend this year to launch a new
project entitled ‘Recycling London’s empty homes’ where we will seek to
draw linkages between bringing empty homes back into use and the most
environmentally sustainable way of so doing. Watch this space for more
information on this exciting project linking housing and the environment.
All in all it is an exciting time to be working in the field of empty homes,
as it continues to progress up the political agenda. It is certainly a fast
moving issue and do please check our website, www.emptyhomes.com,
for regular updates and latest news on this important issue.
Empty homes do not represent the only answer to housing problems in
London, but they are a vital part of the solution. It has been incredibly
encouraging to see how many organisations now see empty homes as a
part of the solution, and the Empty Homes Agency will continue to work
with whoever shares our vision of unlocking the potential of London’s
empty homes.
Jonathan Ellis
Chief Executive
Association of London Government
We welcome the GLA report. Bringing empty properties back into use
plays an important part in helping to meet the needs of all Londoners.
In addition to being a wasted housing opportunity for somebody in need,
empty properties can have a negative impact on the community by
increasing the fear of crime and resulting in damage to neighbouring
properties.
London has the highest level of homelessness in the country and the
capital’s councils are under huge pressure to meet the high demand for
housing. Keeping homes that could be used to house many of the families
living in temporary accommodation empty for long periods is, therefore,
wasteful and contrary to community interests. The number of empty
homes must be minimised in order to ease pressure on the housing stock
and reduce the necessity to develop on greenfield land.
Mayor of London 11
12 Mayor of London
Empty Homes in London 2005-06
Recognising the potential of vacant properties to ease the housing
shortage, London boroughs employ empty homes officers dedicated to
bringing properties back into use.
The ALG lobbied government to encourage it to include empty homes in
the Housing Act 2004 and welcomed the inclusion of the empty dwelling
management orders.
It is important that, as work to bring empty homes back into use
increases, effort is put towards bringing the most difficult long-term
empty properties back into use as well the easier ones. In some cases,
properties have been empty for ten years or more because of
uncooperative owners or because they require extensive works. These
properties should be brought back into use so that they can offer an
opportunity to provide settled accommodation for some of the 60,000
households living in insecure temporary accommodation.
Cllr Stephen Cowan
Chair of ALG Steering Group
The British Property Federation
Most of us take our homes for granted. For some people, however, just
trying to find suitable accommodation in London is a huge challenge,
which if unmet can rob them of a decent start in life, as the Shelter
‘Million Children Campaign’ amply illustrates.
From the private sector’s perspective we therefore see tackling the issue
of empty homes as a vital component of the London Housing Strategy.
Why? Because:
1. Empty homes blight their surrounding areas, hurting property and
rental values and spoiling neighbours’ enjoyment of their homes.
2. Empty properties are opportunities, for refurbishment and
development, which from a purely vested interest keeps our industry busy.
3. Empty properties can provide at least some of the shortfall in current
housing supply. It is not the whole solution, but in making the case for
increasing housing supply in London we must ensure there is a balance
Empty Homes in London 2005-06
between Greenfield and Brownfield development and bringing existing
property back into use.
4. Bringing empty homes back into use can also form a useful part of a
wider regeneration strategy, for example in shopping areas, where the
flats above shops may not be in use.
For these and other reasons we support the additional measures being
introduced in the 2004 Housing Act. We believe these strike a good
balance between the legitimate protection of property rights and tackling
the problems of empty property. We hope that in all but a few cases such
powers will not need to be used, but they are there if required and
collectively during 2006 all of us with an interest in empty homes must
educate the wider public about them. There is a lot of misinformation
already out there, but contrary to some of the reports in the tabloid press
you will not go away on a fortnight’s leave and find your local authority
has let out your house! What you may find, however, is that through the
use of such powers that grotty house at the end of your street with the
overgrown garden will slowly return to being an asset to your
neighbourhood, rather than a liability.
The Federation therefore looks forward to 2006 with a great deal of
optimism. The new powers will provide new opportunities to raise the
profile of this important issue. Expected changes to European legislation
on VAT will also provide new opportunities to convince our own
Government that it should reduce the VAT on repairs, maintenance and
improvement and we look forward to working with other partners on that
in the forthcoming year.
To conclude, we thank the Empty Homes Agency, GLA and London
Housing Board for all their efforts on empty homes in London over the
past year, but perhaps most of all those local authority officials who are at
the sharp end of the issue.
Ian Fletcher
Director (Commercial & Residential)
Mayor of London 13
14 Mayor of London
Empty Homes in London 2005-06
The Housing Corporation
The Housing Corporation is committed to working with a range of
partners to maximise access to affordable housing. This includes
supporting investment that will bring empty homes in London back
into use.
We are doing this in a number of ways:
Firstly, through direct investment, we hope to target £15m of Temporary
Social Grant from our affordable housing programme for 2006-08 at
bringing empty homes back into use. Our priority will be homes that have
been empty for more than 6 months and where lease lengths of ten years
or more can be negotiated. We are also working with the Government
Office for London on assessing local authority proposals for dealing with
empty homes. In our 2004-06 programme, we allocated Temporary Social
Housing funding of nearly £15m to bring 294 homes back into use.
Secondly, through our regulation of registered social landlords (RSLs),
we require RSLs to actively manage their property portfolio and to take
action to deal with properties that are, or could become, long term voids.
Options for action could include seeking funding for major repairs; for deconversions or extensions to provide larger homes or, ultimately, disposal,
with proceeds reinvested in new housing.
We will work with local authorities to take advantage of their new
powers, such as those offered by Empty Dwelling Management Orders,
to tackle long-term private empty homes, allowing them to be brought
back into use.
In order to maximise the expertise that can be brought to bear on this
area, we would encourage local authorities to work with development
partners on a sub regional basis. This should enable partners to build up
volume programmes, giving procurement efficiencies and extending the
options that can be made available to owners.
Empty Homes in London 2005-06
4 news and policy developments
Government gives priority to empty homes
4.1 The government’s response to the Barker Review of housing supply
showed that the issue of empty homes has moved up the government’s
agenda for delivering sustainable communities.5 While stressing the
fundamental need to increase the total supply of homes for sale and rent,
the response also emphasizes the need to make the most effective use of
existing stock.
4.2 A main way of achieving this is to bring more empty property back to the
market. The point is made that bringing empty properties back into use
has fewer environmental impacts than building new homes, as such
properties will be located near to existing facilities and infrastructure. The
government believes that Empty Dwelling Management Orders – a new
power contained in the Housing Act 2004 – will provide focus for a
concerted effort to bring more long-term empty homes back into use.
4.3 The government already has a commitment to reducing the number of
long-term empty private properties in England by 25,000 by 2010 (the
current number in England is 291,000, of which 36,200 are in London).
In the response to the Barker Review, the government makes a further
commitment to explore the scope to go further than this target and more
quickly if feasible.
The extent and cost of empty repairs to empty homes
4.4 Earlier this year, the Mayor gave a commitment to Green Members of the
London Assembly that the issue of empty homes would be given high
priority in work on the London Housing Strategy. As part of this
commitment, the GLA carried out a study into the average cost of works
needed on empty homes in London in order to make them suitable
for use.
4.5 Data on the average cost of repairs necessary was obtained from 15
boroughs’ private sector housing stock condition surveys. Fordham
Research Limited, who carried out all the surveys within the past five
years, provided the information. Nearly 500 empty homes were inspected
by surveyors as part of these surveys, 84 of which had been empty for
longer than six months.
4.6 Analysis was carried out by the GLA and it was found that the average
cost of comprehensive repairs necessary for all empty homes in the survey
was £6,800. In the case of long-term private empty homes, the average
cost was just over £12,000, ranging from less than £100 for a property in
5 The Government’s Response to Kate Barker’s Review of Housing Supply, December 2005,
jointly published by HM Treasury and ODPM.
Mayor of London 15
16 Mayor of London
Empty Homes in London 2005-06
good condition to over £83,000. Although the sample size for long-term
empty homes is relatively small (84 properties), the average cost is the
best available London-wide estimate at this time.
4.7 It should be noted that a number of long-term empty homes might be in
fairly good condition. A survey of the owners of long-term empty homes
in Hammersmith & Fulham, for example, showed that only around half of
owners said that their properties were either being repaired or needed
repairs.6
4.8 The average repair costs from this study compare to an average cost of,
for example, £105,000 public subsidy for building a new housing
association home in London (subsidy represents on average around 60 per
cent of the total cost). The message for property owners and investors is
that it is less expensive to repair existing homes than to build new ones.
4.9 The findings on average costs will be of interest to local authorities and
RSLs considering leasing private empty homes and to local authorities
setting up arrangements for Empty Dwelling Management Orders. They
will also be of relevance to local authorities and housing associations
purchasing and renovating private empty homes. However, investors in
permanent housing (as opposed to leased, temporary accommodation)
would also have to take into account the purchase price of the property in
addition to the cost of repairs. It is also the case that public sector
initiatives to purchase and renovate empty dwellings are often based on
tackling poor stock condition, hence the higher unit costs often
associated with those programmes.
Recycling London’s empty homes
4.10 The Empty Homes Agency runs the London Empty Property Hotline,
which provides a single contact number for members of the public to
report empty homes, as well providing advice and information to property
owners. Hotline staff refer reports of empty homes to the relevant local
authority, and sometimes directly to a housing association, to take steps
to bring it back into use. The hotline has been part-funded by the Mayor
for the past four years. In the period since it was set up, the hotline has
been instrumental in returning 2,600 empty homes to use, helping
approximately 4,000 people in housing need.
4.11 Increasingly, the hotline is being used by owners of empty homes as a
resource for seeking advice and information on returning their properties
to use. Recycling London’s Empty Homes (RLEH) is planned as the next
6 Problem properties? Developing a better understanding of why homes are left empty,
2003, Empty Homes Agency
Empty Homes in London 2005-06
phase in development of the hotline project, with the aim of promoting
environmentally friendly renovation and refurbishment and to act as a
bridge between housing and environmental sectors (subject to funding
being secured to enable the project to proceed). Frequent contact with
owners of empty properties through the hotline provides an opportunity
to help them with advice and information.
4.12 RLEH would extend the scope of the project’s on-line resources to link
empty homes in London with the sustainable construction sector. This will
be by means of an information bank and acting as a signpost to other
resources, designed to build and strengthen London’s capacity for green
building renovation and sustainable refit of properties in disrepair. The
aim will be to empower people working with empty homes to use
sustainable materials and processes and to act as a catalyst through
communication and cooperation.
4.13 While there are several UK organisations offering advice on sustainable
construction to developers and house-builders, there are none that
specifically promote the sustainable renovation and refurbishment of
existing properties.
4.14 RLEH would include:
• A telephone helpline
• Producing and distributing a monthly newsletter
• Setting up and developing web pages for all stakeholders to share
• Developing a database of contacts and information
• Helping to organise and underwrite shared events on sustainable
building issues
• Fact sheets and research for/production of a London Green Building
Renovation Guide
• Outreach work to inform the public
• Developing links with Sustainability and Local Agenda 21 officers in
London boroughs.
Empty dwelling management orders
4.15 Empty Dwelling Management Orders (EDMOs) will enable local
authorities to in some circumstances take over the management of homes
that have been empty for longer than six months. The properties will then
be used to accommodate people in housing need for a given period, after
which the property will be handed back to the owner. EDMOs will only be
used as a last resort, where an owner has not taken up offers of advice or
assistance from the local authority. They are not intended to replace
existing enforcement measures such as compulsory purchase procedures,
Mayor of London 17
18 Mayor of London
Empty Homes in London 2005-06
but will offer an alternative procedure that does not involve a change in
ownership.
4.16 Legislation relating to EDMOs was set out in the Housing Act 2004. In
August to October 2005, the government consulted on the detailed
regulations for EDMOs, including circumstances that might be exempted
from the regulations. These exceptions might include situations where:
•
•
•
•
•
•
the owner is temporarily absent from their home
the owner has died
the property is a second home or a holiday home
the property is undergoing repair or renovation
the property is awaiting planning approval
the property is on the market.
4.17 The government published its response to consultation in January 2006.
Both the consultation paper and response are available at
www.odpm.gov.uk. EDMOs will commence from 6 April 2006.
Empty homes website for West London
4.18 The empty homes website, Empro.co.uk, celebrated its first anniversary in
July 2005. The website creates a virtual marketplace where prospective
purchasers can directly find out details of empty homes from owners. It
was designed to overcome the problems experienced by local authorities
in assisting in the property transaction process, because of rules on data
protection and procurement.
4.19 Empro.co.uk was developed by the Empty Homes Agency, RICS
regeneration consultancy Urban Catalyst and the seven London boroughs
in the West London sub-regional partnership. The website now has 8,000
registered users and some properties have received literally hundreds of
enquiries from people interested in buying. The website was set up by
West London boroughs on a pilot basis. Birmingham City Council joined
the site in October 2005 and the Empro Board is in discussion with a
number of other local authorities both inside and outside London about
joining next year.
For more information contact david.ireland@emptyhomes.com or
jonsawyer@urbancatalyst.co.uk.
Why are homes kept empty in North London?
4.20 Surveys to find out why homes are kept empty have been carried out in
Hammersmith & Fulham and Birmingham councils in the recent past and a
similar survey is being carried out in the East of England region. A survey
Empty Homes in London 2005-06
of 6,000 empty homes is now being organised by the North London subregional partnership of boroughs. The survey, to be carried out by MORI,
will identify the reasons why owners keep properties empty and look at
the range of possible ways in which owners could be encouraged to bring
them back into use. This will enable boroughs in the sub-region to target
resources and interventions in the most effective way.
4.21 The North London sub-regional partnership of six boroughs, Westminster,
Camden, Islington, Haringey, Enfield and Barnet, is developing a joint
strategy for tackling empty homes. A dedicated empty property team has
been set up for the sub-region to deliver the strategy. In addition to the
survey, the team will be:
• Developing a robust enforcement policy to back up a wide range of
incentives. The team has developed a model CPO procedure, provided
training for officers working with CPOs in the sub-region, and hopes to
recruit a sub-regional enforcement officer.
• Actively pursuing the development of partnership with RSLs working in
the sub-region.
For more information about these initiatives, contact the project manager,
Janet Wade (janet.wade@islington.gov.uk).
How to rescue an empty house
4.22 A TV series, How to Rescue a House, presented by architect Maxwell
Hutchinson, was screened by BBC2 in October and November 2005. In
each episode, potential homeowners were shown how to investigate the
status of derelict empty buildings in the UK and helped to reclaim them.
Two of the episodes included a search for suitable empty properties in
different areas of London. The Empty Homes Agency’s Local Authority
Adviser, David Ireland, was adviser to the series and he has written a book
to accompany the series (also entitled How to Rescue a House, published
by Penguin Books).
4.23 The Empty Homes Agency has published a series of fact sheets (available
at www.emptyhomes.com):
•
•
•
•
•
How to find an empty property
Finding out who owns the property
Reviewing your options
Grants
Mortgages
Mayor of London 19
20 Mayor of London
Empty Homes in London 2005-06
appendix: tables
Table 1 Trends in empty dwellings nationally and in London, 1991 to 2005
1991
1992
1993
1994
1995
1996
1997
Number
of empty
properties
in England
752,700
810,700
868,600
845,500
802,600
790,600
767,000
1998
1999
2000
2001
2002
2003
2004
2005
753,200
772,300
762,700
753,188
729,770
718,720
689,675
680,412
Vacancy
rate (%)
3.8
4.1
4.3
4.2
3.9
3.9
3.7
Number
of empty
properties
in London
134,800
145,100
160,500
155,500
137,800
131,500
121,600
Vacancy
rate (%)
4.6
4.9
5.4
5.2
4.6
4.3
4.0
London’s empty
properties as a
% of the
national total
17.9
17.9
18.5
18.4
17.2
16.6
15.9
3.6
3.7
3.7
3.5
3.4
3.3
3.2
3.1
112,200
114,100
105,200
104,481
99,792
99,781
99,047
91,219
3.7
3.7
3.4
3.3
3.2
3.2
3.1
2.9
14.9
14.8
13.8
13.9
13.7
13.8
14.3
13.4
Source: Housing Strategy Statistical Appendix data, 1 April 1991 to 1 April 2005.
Note: Table is for all tenures, figures relate to 1 April each year.
Table 2 Number of empty dwellings in London by sector, 1991 to 2005
Private
sector
1991
1992
1993
1994
107,700
119,200
133,800
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
109,500
101,800
94,600
88,300
89,300
83,395
85,445
83,053
83,435
83,211
125,500
74,811
% of
stock
Local
authority
% of
stock
RSL
stock
% of
stock
5.3
5.7
6.4
6.0
17,712
16,736
17,768
18,682
2.5
2.4
2.7
2.9
7,332
6,487
7,049
4.7
4.0
3.6
-
5.1
4.7
4.3
4.0
4.0
3.7
3.7
3.6
3.6
3.5
3.1
19,059
20,781
18,544
15,611
14,700
12,800
11,085
9,971
9,918
8,952
9,619
3.0
3.3
3.0
2.6
2.6
2.3
2.1
1.9
2.0
1.9
2.1
6,163
5,940
5,671
6,639
8,100
7,300
7,231
6,149
5,547
5,960
5,826
3.1
3.0
3.0
2.8
3.2
2.7
2.5
2.1
1.8
1.9
1.9
1,582
2,100
1,700
1,010
619
881
924
963
Source: Housing Strategy Statistical Appendix data, 1 April 1991 to 1 April 2005
Note: Figures relate to 1 April each year
Other
public
sector
-
% of
stock
7.0
10.8
12.6
7.0
5.1
6.4
9.3
10.7
Mayor of London 21
Empty Homes in London 2005-06
Table 3 Empty dwellings by tenure, by borough, 1 April 2005
Local
Authority
Barking & Dagenham
Barnet
Bexley
Brent
Bromley
Camden
City of London
Croydon
Ealing
Enfield
Greenwich
Hackney
Hammersmith & Fulham
Haringey
Harrow
Havering
Hillingdon
Hounslow
Islington
Kensington & Chelsea
Kingston
Lambeth
Lewisham
Merton
Newham
Redbridge
Richmond
Southwark
Sutton
Tower Hamlets
Waltham Forest
Wandsworth
Westminster
London total
England total
449
139
*
169
*
410
0
113
180
297
493
714
370
229
66
309
191
173
321
8
31
613
769
76
649
54
15
1,703
209
404
121
134
210
9,619
48,594
RSLs
%
2.2
1.2
*
30
134
151
1.7
*
1.7
0
0.8
1.3
2.5
1.9
2.9
2.8
1.3
1.3
2.7
1.7
1.3
1.1
0.1
0.6
2.0
2.9
1.1
3.4
1.1
17.2
3.9
2.7
1.8
1.2
0.8
1.7
2.1
2.2
Other
public sector
306
351
60
14
146
144
179
225
639
149
180
44
13
98
61
284
500
54
179
169
34
294
14
159
252
99
221
284
157
202
%
1.2
2.1
1.2
2.2
2.0
0.6
5.6
1.6
1.6
2.6
2.4
2.9
1.2
1.7
1.2
0.5
1.7
0.9
2.4
4.2
2.3
1.0
2.0
0.8
2.5
0.4
1.7
1.8
2.7
1.3
2.7
1.6
1.6
5,826
40,613
1.9
2.2
0
125
0
193
0
0
6
8
17
51
0
0
259
0
30
1
139
8
1
0
0
0
0
0
108
0
0
0
0
1
2
14
0
%
0
22.9
0
8.7
0
0
4.1
8.0
11.0
60.7
0
0
29.0
0
15.3
2.7
16.2
5.5
3.2
0
0
0
0
0
23.7
0
0
0
0
0.5
1.9
4.0
0
963
5,666
10.7
6.9
Source: Housing Strategy Statistical Appendix 2005, Section A
* Local authority has transferred whole stock to one or more RSLs
Column totals are grossed to account for missing data
Private
sector
Total
dwellings
1,881
2,769
2,106
2,958
4,501
3,106
38
4,296
3,142
2,404
2,585
2,296
1,258
2,939
1,917
1,510
2,045
1,034
1,284
2,972
399
1,408
2,753
1,966
926
2,148
1,699
2,856
1,246
1,677
3,128
4,432
3,132
%
4.1
2.4
2.6
3.7
4.0
5.0
0.8
3.7
3.2
2.4
4.2
5.0
2.5
4.2
2.6
1.8
2.4
1.5
2.7
4.3
0.7
1.9
3.6
3.0
1.4
2.5
2.4
4.7
1.9
3.2
4.3
4.5
3.5
2,360
3,167
2,257
3,626
4,852
3,576
58
4,563
3,483
2,931
3,303
3,649
2,036
3,348
2,057
1,833
2,473
1,276
1,890
3,480
484
2,200
3,691
2,076
1,977
2,216
1,873
4,811
1,554
2,303
3,535
4,737
3,544
%
3.4
2.4
2.4
3.5
3.7
3.7
1.0
3.3
2.9
2.5
3.4
4.0
2.6
3.4
2.5
1.9
2.4
1.4
2.2
4.0
0.8
1.8
3.3
2.7
2.0
2.3
2.4
4.1
2.0
2.5
3.8
3.7
3.1
74,811
585,539
3.1
3.3
91,219
680,412
2.9
3.1
22 Mayor of London
Empty Homes in London 2005-06
Table 4 Empty private sector dwellings, by borough, 1 April 2005
Total
private
sector
dwellings
Barking and Dagenham
45,944
Barnet
115,057
Bexley
80,463
Brent
78,956
Bromley
113,851
Camden
62,585
City of London
4,828
Croydon
115,697
Ealing
9,8901
Enfield
98,368
Greenwich
61,566
Hackney
45,838
Hammersmith and Fulham
50,908
Haringey
69,561
Harrow
74,046
Havering
82,513
83,532
Hillingdon
Hounslow
69,749
Islington
47,576
Kensington and Chelsea
68,630
Kingston upon Thames
55,411
72,901
Lambeth
Lewisham
76,899
Merton
66,287
65,472
Newham
Redbridge
87,162
Richmond upon Thames
69,436
Southwark
61,096
Sutton
65,717
Tower Hamlets
52,768
Waltham Forest
72,947
Wandsworth
98,707
90,065
Westminster
Total London
2,403,437
Total England
17,784,606
Total no. of
empty private
sector
dwellings
% of
private
sector stock
empty
1,881
2,769
2,106
2,958
4,501
3,106
38
4,296
3,142
2,404
2,585
2,296
1,258
2,939
1,917
1,510
2,045
1,034
1,284
2,972
399
1,408
2,753
1,966
926
2,148
1,699
2,856
1,246
1,677
3,128
4,432
3,132
74,811
585,539
Source: Housing Strategy Statistical Appendix 2005, Section A
Column totals are grossed to take account of missing data.
# missing data
4.1
2.4
2.6
3.7
4.0
5.0
0.8
3.7
3.2
2.4
4.2
5.0
2.5
4.2
2.6
1.8
2.4
1.5
2.7
4.3
0.7
1.9
3.6
3.0
1.4
2.5
2.4
4.7
1.9
3.2
4.3
4.5
3.5
3.1
3.3
No. of
dwellings empty
for longer
than 6 months
141
2,745
650
1,820
1,023
1,221
38
2,860
1,655
1,185
213
#
800
1,468
976
1,079
1,067
788
802
1,715
165
1,116
1,500
745
180
776
519
512
#
858
1,736
729
1,583
36,164
290,862
% of private
stock
empty for
than 6 months
0.3
2.4
0.8
2.3
0.9
2.0
0.8
2.5
1.7
1.2
0.3
#
1.6
2.1
1.3
1.3
1.3
1.1
1.7
2.5
0.3
1.5
2.0
1.1
0.3
0.9
0.7
0.8
#
1.6
2.4
0.7
1.8
1.5
1.6
Mayor of London 23
Empty Homes in London 2005-06
Table 5 Empty dwellings per region, 2005
Local
authorites
North East
North West
Yorkshire &
the Humber
East Midlands
West Midlands
East of England
London
South East
South West
England
RSLs
5,209
7,735
%
3.1
2.9
%
3,424 2.9
11,047 3.3
7,320
4,985
5,049
3,427
9,619
3,211
2,039
48,594
2.7
2.3
2.2
1.7
2.1
1.6
1.5
2.2
4,799
1,792
5,544
2,150
5,826
3,767
2,264
40,613
2.9
1.8
2.4
1.2
1.9
1.4
1.3
2.2
Other
public
sectors
%
396 11.2
883 24.4
260
953
141
832
963
720
518
5,666
5.0
22.6
2.3
5.9
10.7
3.0
4.3
6.9
Private
sectors
Total
%
30,119 3.5
109,068 4.5
%
39,148 3.4
128,733 4.2
67,126
50,689
66,810
50,247
74,811
83,534
53,135
585,539
Source: Housing Strategy Statistical Appendix 2005, Section A
Grossed totals (includes imputation for missing data)
3.8
3.3
3.7
2.5
3.1
2.8
2.7
3.3
79,505
58,419
77,544
56,656
91,219
91,232
57,956
680,412
3.6
3.1
3.4
2.4
2.9
2.6
2.6
3.1
Private
empty for
over 6 months
%
17,014 2.0
62,351 2.6
31,261
25,493
37,177
25,707
36,164
32,647
23,048
290,862
1.8
1.6
2.0
1.3
1.5
1.1
1.2
1.6
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