Draft Further Alterations to the London Plan
Summary of Chapter 3: London’s People
HOUSING
Note: Changes shown in bold are changes to policy.
Housing Requirements:
Recognising the pressing need for more homes in London the Plan sets
out the average annual minimum housing supply targets for each borough
until 2026. These targets have been revised based on the Greater London
Authority’s (GLA’s) 2013 Strategic Housing Market Assessment (SHMA)
and Strategic Housing Land Availability Assessment (SHLAA).
3.16 As noted in Chapter 1, London’s population is likely to increase
significantly more than was anticipated in the past. Also, the household
size trends and hence assumptions have changed from the last time. It is
now assumed that the population of London is set to increase by up to 2
million in the 25 years to 2036 and the number of households in London
could rise by 1 million by 2036. The Plan is based on a projection of
40,000 more households a year (2011-2036).
3.16b This does not represent the growth in housing requirements over
the Plan period, which has been identified through the GLA’s SHMA which
indicates that London will require between approximately 49,000 (20152036) and 62,000 (2015-2026) more homes a year. The 2015-2036
figure of 49,000 additional homes a year provides the basis for the
detailed housing need figures set out in the Plan, which should be
regarded as minimum. This figure has been revised from the 2008 SHMA
of 34,900 dwellings per annum.
3.17a The 2013 SHLAA has been more rigorous in testing housing
capacity and its results translated into minimum housing supply targets
for each borough which show that London has capacity for a least 42,000
additional homes per annum over the period 2015-2025..
3.19 In order to reduce the gap between housing need and supply,
Boroughs should tap into the potential of town centres, opportunity and
intensification areas, other large sites, and surplus industrial land with
good public transport accessibility suitable for high density development.
3.19a Given London’s reliance on recycled land currently in other uses,
capacity termed ‘windfall’ in other parts of the country must form part of
the 5 year supply. The application of the 5%-20% buffer should not lead
to approval of schemes which compromise the need to secure sustainable
development in the NPPF.
Policy 3.3 Increasing Housing Supply
Strategic: The annual targets have been revised to at least 42,000
net additional homes across London as described above. This
target will provide the basis for monitoring and will be reviewed
by 2019/20.
LDF Preparation: Boroughs should develop their housing targets in
accordance with the housing benchmarks set out in the London
Plan, and augment where possible with extra housing capacity to
close the gap between identified need and supply in line with the
requirement of the NPPF.
Good public transport accessibility to be considered while tapping
the potential of town centre renewal, mixed use redevelopment
and sensitive renewal of existing residential areas for
supplementing housing supply targets.
Boroughs should monitor housing capacity and provision against
local housing needs assessments.
Table 3.1 sets new housing benchmarks for each borough for
2015-25.
Policy 3.4 Optimising Housing Potential
There are no alterations in this policy. The density matrix (table 3.2)
remains the same.
Policy 3.5 Quality and Design of Housing Developments
There is no alteration in this policy, which calls for housing developments
to be of the highest quality internally, externally and in relation to their
context and to the wider environment.
Policy 3.6 Children and Young People’s Play and Informal
Recreation Facilities
There is no alteration in this policy. It calls for ensuring safe access to
good quality, well-designed, play and informal recreation facilities.
Policy 3.7 Large Residential Developments
Strategic, Planning Decisions and LDF Preparation: Higher
densities are encouraged on sites over five hectares or capable of
accommodating more than 500 dwellings.
3.42 Scale of the large new developments means they have particular
potential to accommodate higher density development. Guidance on
densities above those outlined in table 3.2 is set out in the Housing SPG.
Large sites provide opportunities for good quality public realm.
Policy 3.8 Housing Choice
LDF Preparation and Planning Decisions: The planning system
should provide positive and practical support to sustain the
contribution of the Private Rented Sector (PRS) in addressing
housing needs and increasing housing delivery.
Appropriate provisions to be made for custom build
accommodation.
3.50 It is anticipated that between 2011 and 2036 ‘over 65s’ could
increase by 64 percent and ‘over 90s’ could grow in number by 89,000.
While most of the older Londoners are likely to prefer to remain in their
own homes, some will require support to enable them to do so. New
development should expand this choice for existing and future
generations of older Londoners. The policy on housing quality and
associated standards will play a key role in extending choice by carrying
forward Lifetime Homes standards for all dwellings and ensuring that 10%
are wheelchair accessible.
3.50b Research suggests that local specialist housing for older Londoners
may have been constrained through inadequate supply; extending these
choices will in turn free up larger homes for family occupation. Older
Londoners may require 3,600 – 4,200 new specialist units per annum
over the period 2015 – 2025 broken down broadly into 2,600 private
units, 1,000 in shared ownership and 300 new affordable units per
annum. There may also be a requirement of 400-500 new bedspaces per
annum in care homes.
3.50c Boroughs should demonstrate in their LDFs and other strategies/
plans how they have identified and addressed these strategic needs
through targets and performance indicators, informed by the indicative
requirement benchmarks set out in Annex A5 of the London Plan. They
should work proactively with providers of specialist accommodation and
encourage ‘mainstream’ housing developers to extend their product range
to meet specialist needs. It is important that viability assessments take
into account the distinct economics of specialist housing and care home
provision.
3.50d The Mayor, through his role as Chair of the London Health Board,
will promote recognition of the importance of decent housing for older
Londoners as a strategic heath issue. The Housing SPG provides guidance
on different types of specialist accommodation and implementation of this
policy.
3.53a In terms of specialist student accommodation, there could be
requirement for some 20,000-31,000 places over the 10 years to 2025.
The SHLAA has identified a pipeline of circa 20,000 student bed spaces
2015-2025. This may raise particular challenges in four central London
boroughs (Islington, Tower Hamlets, Southwark and Camden) where 57
percent of provision for new student accommodation has been
concentrated. The Mayor will encourage a more dispersed distribution and
more affordable accommodation for students.
3.54 PRS is the only housing sector to have shown relative growth in
recent years, one in four London households now live in the sector and
around two thirds of one in eight of households in London that move
home each year move into or within it. The planning system must take a
more positive approach in enabling this sector to contribute to
achievement of housing targets. Covenanted PRS can contribute towards
this and viability tests should take account of the distinct economics of
this type of PRS.
3.57A The need for housing for service families and people wishing to
build their own homes has been identified by the SHMA. The Mayor has
refined national support for custom build and community right to build.
The Mayor is keen to work with local communities to expand the concept
so self build can be developed on a greater scale . Self building may
provide particular opportunities for members of this group to access
owner occupation.
Policy 3.9 Mixed and Balanced Communities
There is no change in this policy, which calls for promotion of
communities mixed and balanced by tenure and household income.
Policy 3.10 Definition of Affordable Housing
There is no change in the definition.
3.61 The upper range of annual income for households eligible for
intermediate housing has been changed from £64,300 to £66,000. For
homes with more than two bedrooms, the upper end has been increased
from £77,200 to £80,000. Local eligibility criteria for intermediate housing
should not compromise Policy 3.11 to maximise affordable housing
provision.
3.62 If boroughs wish to set eligibility criteria for intermediate housing
below the said levels, planning conditions or agreements should secure
them at the reduced levels for no more than three months from the point
of initial marketing and they should then be offered without further
restrictions to those who meet the London-wide eligibility criteria as set
out in the London Housing Strategy.
Policy 3.11 Affordable Housing Targets
Strategic: The overall target for affordable housing provision has
been increased from 13,200 to 17,000 more affordable homes per
annum.
3.64 The SHMA suggests the requirement is approximately 25,600
affordable homes every year.
Policy 3.12 Negotiating Affordable Housing on Individual Private
Residential and Mixed Use Schemes
There is no change in this policy that calls for maximum reasonable
amount of affordable housing to be sought when negotiating on individual
private residential and mixed use schemes.
3.71 A point has been added in the description asking developers to
provide development appraisals to demonstrate that each scheme
maximises affordable housing output.
Policy 3.13 Affordable Housing Thresholds
There is no change in this policy that requires affordable housing
provision on a site which has capacity to provide 10 or more homes.
Boroughs are encouraged to seek a lower threshold wherever possible.
Policy 3.14 Existing Housing
There is no change in the policy calling for maintenance and enhancement
of London’s existing housing stock of 3.14 million homes.
3.79 In 2011, 22 percent of homes failed to meet Government’s broad
Decent Homes Standard, a substantial fall from 36 percent per cent in
2003.
3.84 The number of overall empty homes in London has fallen to 72,100
in 2012, 2 per cent of total stock, well below the national average of 3 per
cent. The number of long-term empty homes has also fallen to 23,870,
below Mayor’s target level of 1 per cent of the total stock.. The Mayor is
seeking to further reduce the level of long-term empty homes in London
in order to meet the housing requirements and the London Housing
Strategy sets out measures to achieve this
Policy 3.15 Co-ordination of Housing Development and
Investment
There is no alteration in this policy that aims at ensuring co-ordination of
different plan and strategies.
3.85a Research shows that in London the planning process is just one
among a range of more significant constraints on housing delivery
preventing the translation of planning approvals to completion. However,
it can provide a framework for pro-active working to facilitate operation of
the market by bringing together different agencies and actors.
The Mayor is working to bring forward individual, ‘stalled’ strategic sites;
the boroughs are encouraged to do the same with smaller ‘stalled’ sites.
It is important that realistic and sensitive account is taken of development
viability when seeking S106 contributions and setting CIL charges.