Planning,
3 July 2009
Guidance on how to renegotiate section 106 agreements is set to be released shortly by the Homes and Communities Agency (HCA).
The advice, initially prepared for its staff, will be made available
online later this month for local authorities and developers in
discussions on projects affected by the recession.
HCA Yorkshire and Humber director David Curtis is leading the project.
He outlined the need for councils to consider PPS3 when negotiating
affordable housing.
He cited a High Court ruling last year that quashed Blythe Valley
Borough Council's 30 per cent affordable housing policy. Wakefield
Metropolitan District Council is now facing a similar challenge
(Planning, 26 June, p2).
"We need to deliver development while getting the best value for public
investment," said Curtis. "It may involve recovering investment through
a development agreement or a requirement to deliver higher affordable
housing numbers when the economy starts to recover."
A selection of developers, the Home Builders Federation (HBF), the
Planning Officers Society and the Local Government Association were all
consulted to inform the guidance.
HBF head of planning Andrew Whitaker commented: "We are very interested
that the HCA is entering the debate. Local authorities will have to take
notice. The economic reality is that the value they relied on before is
not there and they need a different approach if anything is to be
delivered."
