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How this part of the Local Plan Options Document works
These Development Management policy option pages contain the following sections:
Policy background
- Relevant national policy or regulations
- National or regional trends
- Local situation and needs/li>
- How we have dealt with this issue in the past
- The thinking behind the policy
Policy options for the new Local Plan
We may suggest a variety of approaches:
- Keeping existing policy as it is
- Making small changes
- Replacing the policy with something that is substantially different
- Identifying factors or events which may affect this policy in the future
Policy option analysis
- A list of the advantages and disadvantages that we have identified for each of the policy options we are presenting.
Read the Housing topic paper and Local Housing Need Assessment (LHNA) for in-depth focus about this topic, and the evidence which informs our policy. Visit our library of Local Plan Options supporting documents to learn more.
Explore the policy
Select a section below to read more.
9.10 National policy also requires that at least 25% of the Affordable Housing secured on large sites should be delivered as First Homes. These are dwellings that are available to purchase for first time buyers at a discounted price, set nationally at a minimum of a 30% discount. National policy also stipulates that the maximum price to be paid for a First Home (after the discount has been applied) must be no higher than £250,000. Evidence previously produced by the council showed that, given the relationship between incomes and house prices, First Homes will still be relatively unaffordable in Bath and North East Somerset and would not meet the needs of those households requiring Affordable Housing. As such evidence showed that shared ownership provides a more affordable low-cost home ownership product within the district. The council set out its approach to First Homes in the Bath and North East Somerset First Homes Interim Position Statement, which in summary is that First Homes will not be mandatorily required on qualifying large sites.
9.11 However, through the preparation of the Local Plan 2022-2042 this approach needs to be reviewed in light of up to date evidence. The LHNA shows that there is a significant need for more affordable forms of housing for those households that can afford market rents, but aspire to home ownership. This need is particularly significant in Bath. First Homes are a product that could play a useful role in meeting this need, alongside shared ownership homes. Therefore, as an option it is proposed to require that 25% of all affordable housing secured on a large site should be delivered as First Homes. It is also proposed that, despite house prices being very high in the district, especially in Bath, the discount should be set at 30% because a greater discount would reduce the amount of developer subsidy available to fund provision of shared ownership homes which are crucial in helping to meet affordable housing need more widely. Given the 30% discount evidence shows that it is likely that First Homes in Bath will typically be smaller (1 and possibly 2 bed) dwellings given the £250,000 price cap.
9.12 Evidence of need for more affordable forms of housing for those that aspire to home ownership is corroborated by the Economic Strategy, which notes there is a need for housing that can be afforded by essential local workers and other workers in the local economy. Essential local workers are defined in the NPPF as ‘Public sector employees who provide frontline services in areas including health, education and community safety – such as NHS staff, teachers, police, firefighters and military personnel, social care and childcare workers’.
9.13 The lack of availability and affordability of housing is making it difficult for some employers, including those in the public sector, to attract and retain staff. First Homes may play a role in helping to meet this need. In addition, there may be an opportunity for employers to provide affordable housing for their essential local worker staff on specific sites or land that they own. The Council is considering whether to introduce a policy approach that would seek to facilitate delivery of such employer-linked affordable housing for essential workers on specific sites (thereby enabling 100% Affordable Housing schemes to be developed by potentially being more flexible in terms of tenure mix). Subject to evidence of need, there may be a case to allow such essential worker housing as an exception to other policies in the Local Plan (these would be defined in the Draft Local Plan).
Question 1: Exceptions for essential workers
Do you agree with the approach in paragraphs 9.12 and 9.13? If you think that an essential worker exceptions housing policy should be included in the Draft Local Plan, what factors should be covered within the policy?
Question 2: Definition of 'essential workers'
Do you think that any such Local Plan policy should use the NPPF definition (paragraph 9.12) of essential workers? If not, what changes should be made?