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Community Land Trusts

Posted by Jason Orme on 23rd July 2010

Whilst any initiative that gets more homes built in the UK is to be welcomed - our demand for housing is rising insatiably (and not just due to immigration as is popularly believed) and yet annual housebuilding stats are at pitiful lows - but today's announcement of the forming of Community Land Trusts is, to my mind, a red herring for self-builders.

The concept is thus. People in villages will be able to get together and build small numbers of houses (5-20 is the figure I've heard) on the edge of villages. Without needing planning permission, so long as they get a 'significant' majority in a local referendum on the issue.

Without wishing to go into what these houses that don't need planning permission will look like, the key problem with this scheme (for us, at least) is that it is based on an affordable housing model. So while local people building homes to enable them to stay in a local area is a good thing, those homes will be subject to a covenant meaning that they cannot be sold for more than 1/3 of the value of other houses locally.

And I don't know any self-builders who would go for that. 

I've written to Grant Shapps suggesting a similar scheme but one that releases individual plots on the egde of villages for self-builders to build fair-value homes. I've also had contact from the Department for Communities and Local Government, and I'll keep you posted on this blog.

Jason Orme

Jason Orme

Jason Orme has been the Editor of Homebuilding & Renovating for many years and has written on property and self-build matters for, amongst others, The Independent and The Telegraph. He self-built in 2004 and is looking for another plot.

Meet Jason Orme at the Homebuilding & Renovating Shows.

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#1

Community Land Trusts

Nick Molyneux's photo

Community Land Trusts are nothing new. They have been around for a while. I dont know where you are getting the information that the latest policy requires homes to be limited to 1/3 of market value. Even 'affordable' homes aren't normally sold at that low a value.

What the Government has recently suggested is Local Housing Trusts (similar to Community Land Trusts) and the Community Right to Build.

We have set up a community organisation to deliver self-build housing (and possibly other types of housing including affordable housing) in East Hampshire. If any of your readers live in Petersfield or the surrounding area and are interested they can find out more at grassrootshousing.co.uk

Regards,

Nick

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