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Government backtracks on empty homes incentive

Shafik Meghji, Regen.net, 18 July 2008

The Government has backtracked on proposals to make incentive payments to councils for delivering extra housebuilding dependent on bringing empty homes back into use, it emerged this week.

The information emerged as ministers published results of a consultation on the £510million Housing and Planning Delivery Grant (HPDG), which exists to encourage extra housebuilding.

Although 57 per cent of respondents supported using the grant to offer incentives to councils to bring empty homes back into use, the Government said this would not be "appropriate".

"We recognise the view expressed by a number of local authorities that their allocations should not be dependent on them taking action on empty homes if it is not a priority in their area," it said.

The move was criticised by a housing charity, the Empty Homes Agency (EHA), as "depressingly predictable".

David Ireland, the EHA's chief executive, said: "In October last year the Government [said] the purpose of the [HPDG] was ‘to deliver more affordable housing by bringing empty homes back into use and giving more cash to communities who are building more homes'.

"But now they've decided not to bother and just reward councils for giving planning permission for new housing developments instead."

The Department of Communities and Local Government was asked for confirmation of the change in policy, but had not responded by the time of writing.
 
Housing and Planning Delivery Grant: Allocation Mechanism and Summary of Consultation Responses is available here

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