To receive and consider the report of the Head of Housing and Community Development.
Minutes:
The Committee received the report of the Head of Housing and Community Development.
The Committee noted that the Social Housing Grant (SHG) was year to year grant funding from Welsh Government, whilst the Housing Finance Grant (HFG) was a 30 year revenue grant to Registered Social Landlords (RSLs) to support their borrowing. The Rent To Own (RTO) grant scheme did not come under the TAN2 definition of affordable housing i.e. affordable in perpetuity. After 5 years a person could buy a property under the RTO scheme, and after time this would become a market rate property. The current indication was that for 2021/22 Welsh Government funding would be £1.5million.
The Planned Development Programme (PDP) was a 3 year programme. The funding from Welsh Government was provided annually. However, Councils had to provide a 3 year plan with a nominal idea of costs. Powys has eight housing associations operating within its area. The first guide to allocating housing to associations is based on need, the second is deliverability and the availability of land. Two meetings are held annually with housing association development leads to discuss the way forward.
Extra Care Housing – there are currently 2 schemes with a sum or around £13million allocated which is just short of the £13.2million required. However there is an additional year to go in the programme. The Council’s own build programme is set out in appendix 1 to the report.
Question – Who decides how many housing associations can operate within any county? Is the county over supplied with housing associations? What is the link between our own developments and housing association developments – are there enough sites? |
Response – The number of housing associations used to be determined by Welsh Government who zoned who used to work in each county. The reason that Powys has so many is that 4 zones overlap in Powys. The current affordable housing review is looking at zoning again which is of concern for Councils and Housing Associations. There is a form of agreement between housing associations as to where they will work.
Part of what the Council is doing regarding Extra Care Housing will reduce the funding for housing associations. The Council will balance this with its own houses. The Council can only build Council houses. Housing associations can build other types of accommodation through their development arms and they will require less grant to do this. This will lead to mixed accommodation types in various locations.
With regard to empty sites, the Council programme has a number of sites identified. 6 or 7 sites are being taken forward initially. The Council plan is initially up to 2025 but it is a 30 year plan. As the pot of funding is limited the gap is being filled by the County Council building social housing. |
Question – If there were less housing associations, there would be less overheads which would provide more money for building? |
Response – There are some benefits to having a number of housing associations and the Council does challenge them on costs. |
The Committee commented on whether it might be appropriate to invite housing associations to scrutiny to discuss some of the issues raised by Members. The Portfolio Holder for Governance, Public Protection and Housing commented that the Council can build properties in locations where housing associations might not wish to build.
Question – What are the criteria used to prioritise Ystradgynlais and Welshpool rather than Brecon for Extra Care Housing? When will something happen in Brecon? |
Response – There are potential sites available in Welshpool and Ystradgynlais i.e. Neuadd Maldwyn and Pont Aur. There is no identified site in Brecon at present. Also due to the funding streams there is a need to get the other 2 schemes started. Planning will commence when a site becomes available in Brecon, but the issue is land and when a site is identified. Officers agreed to provide an update to a future meeting on Brecon. |
Question – Neuadd Maldwyn in Welshpool will address the over 55 provision. However what is required in Welshpool is one bedroom accommodation which will not be addressed. School sites in Welshpool are becoming redundant – are these being reserved for social housing? |
Response – Welshpool has a number of different and diverse needs. The numbers presenting as homeless is one of the highest in the county. The Housing Service has identified these school sites for housing needs. However there are some other services also bidding for these sites. The need for smaller accommodation is recognised and Mid Wales Housing has a £7million allocation with one of the schemes being for single person accommodation in Welshpool. |
Question – Land grabbing by developers is an issue which needs to be addressed by Welsh Government? |
Response – The Local Development Plan (LDP) has provisions that if a site is not developed then permissions will be lost. This will be picked up more in the next version of the LDP. The Development Bank of Wales has funding for stalled sites with better rates for loans. The LDP also has overprovided to meet development needs as up to 40% of sites are not developed. |
The Committee commented that for the Local Authority Schemes set out in Appendix 1, this shows the local authority quarterly development programme. These show the sites currently planned together with reserve sites. The Committee noted that there are 3 categories namely actual and potential sites as well as reserve sites. However some of the dates have slipped, so the table needed to be updated.
Question – Can the Council build in communities which are now limited due to the current LDP? |
Response – The Council has a target to build 250 homes by 2023 and so has identified sites to meet this need. The Council does not prefer to build single properties as there is as much work to develop these as would be for multi property sites. The Committee was advised that Self Build Wales would be available from July 2019 which would be a scheme the Council should promote. This is market housing but much more affordable than ordinary housing. £10million would be available from the Wales Development Bank which local authorities could bid for to develop these types of properties. This could assist in driving self build and the economy of Powys. The Council would provide the land and support the individuals to develop the properties. |
Question – The main issue is that local builders are used and that there is also the development of apprenticeships. Does the Council have a plan to make this happen? |
Response – The new self build programme will help employ local builders. There is also a need for better careers education in schools to get individuals into vocational training such as apprenticeships. As Careers Wales does not exist any longer the Portfolio Holder for Education and the Welsh Language is looking at this in Powys. |
Question – Driving the Powys Pound is good, but there are not enough skills available now. There is a need to ensure that we have the infrastructure in place. |
Response – Part of this is lobbying Welsh Government as well to get more people into vocational training. |
Question – Big builders who have contracts in Powys do not always sub-contract to local businesses which is a problem for local businesses. The vast majority of work may be done by businesses outside Powys |
Response – Powys is tied to EU procurement rules. Other Councils are looking at ways of using local businesses. |
Question – The Extra Care Housing proposals are quite costly for a small number of units. How was the assessment undertaken and how does this affect other social housing demand? |
Response – Extra Care Housing is for a small group of people and is seen as a priority for social care to provide independence for individuals. The cost of Extra Care Housing is due to the variation of the accommodation needs over time. |
Question – Will housing waiting lists increase as a result of Extra Care Housing? |
Response – The hope is that Extra Care Housing may release some family homes. |
Outcomes:
· That Housing officers provide an update to the Committee on the Extra Care Housing project in Brecon at a future meeting.
· That the information in the list of Council Schemes (Appendix 1) needs to be updated
Supporting documents: