There is a big noise about the Housing White Paper released by the government recently. Well, everybody has a different interpretation of it which leads to utter confusion. While the government claims that the release announces reforms for planning, development and construction policy per se, property owners and brokers don’t think on the similar lines.
Some people have already declared it a ‘damp squib’ which doesn’t bring rays of hopes. They say that nobody should have any hope of fixing anything by the declarations made in the paper.
Let’s understand what this 104-page report brings for you, the common home owner?
Developers that don’t perform well will have a tough time
Yes, the intentions of the government are pretty clear. Property developers who will not build the sites where they have already got permission will have a tough time now. The land will be seized by the local authorities under government plans.
The government is making guidelines to the local authorities so that they can seize the sites and auction the land to other developers. The expenses will be recovered from the defaulter developers.
Authorities that are roadblock in the development will also feel the heat
Not only developers but local authorities that will bring hurdles in the development will also get penalized. A new housing delivery test is proposed in the White Paper. It would expose the authorities that do not deliver the homes. Right now the threshold is 2 percent. If the delivery is less than 25 percent, then the developers will get planning permission on sustainable schemes. The proportion will be increased to 45 percent by 2019.
Emphasis on modular and modern concepts
The White Paper says that every project will be checked on the modern concepts of construction. Modern construction will be given the utmost priority. The small and medium-sized developers will be targeted by HCA (the Homes and Communities Agency), and they will get the financial support from Home Building Fund.
More than 3 Billion GBP will be invested in esta