Concern at Government's plan to boost starter homes in rural areas

Housing Wed, Mar 23, 2016 10:38 AM

The government has published its first Rural Productivity Plan to grow the rural economy.

Villages and towns in England’s rural communities will be allowed to build starter homes for local residents as part of plans set out by the Chancellor of the Exchequer, George Osborne, and Environment Secretary, Elizabeth Truss in the Government’s first ever Rural Productivity Plan.

The plan, announced as latest figures show thousands of people are moving to rural areas, will set out measures to boost the rural economy by investing in education and skills, increasing wages, improving infrastructure and connectivity, and simplifying planning laws for rural businesses and communities.

Measures covered by the plan include:

Together, the Government claims, these steps will boost productivity and ensure the countryside becomes an even more attractive place for people to live, work, start a business and bring up a family.

However, Lucy Grove, Head of Policy at the National Housing Federation, said: “Young people and families are being priced out of rural villages and market towns across the nation by an acute lack of affordable housing and key infrastructure. This is draining our countryside of its vital workforce and hurting rural businesses.

“(This) announcement is a welcome step in the right direction. Homes at prices to suit a range of incomes and personal needs, including Starter Homes, are needed in communities up and down the country to ease the rural housing crisis. Housing associations are valuable partners for government to get these homes built.”

Communities Secretary Greg Clark said: "We’re determined to ensure anyone who works hard and aspires to own their own home has the opportunity to do so – whether they live in cities, towns or rural communities.

"But all too often young people find themselves exiled from the place they grew up as they are forced to move away to find a home of their own.

"That’s why we’re putting power directly in the hands of rural councils to give the go-ahead for new Starter Homes in their area so local young first-time buyers can continue to be a vital part of their communities."