The National Housing Federation has welcomed many aspects of the Conservative Party's planning green paper, but warned that the current proposals pose too great a risk to the delivery of affordable housing.

The Federation has welcomed parts of the green paper, especially the proposed shift in the planning system towards a presumption in favour of sustainable development and the greater scope for local communities to shape development in their area.

The Federation has also hailed the expectation that councils should provide local people with good quality information on housing need in each neighbourhood. And it has given a positive reception to the principle of giving local authorities and individual communities incentives to build more homes.


The National Housing Federation, which represents housing associations, says that the Tory party's plans to scrap the so-called 'Section 106' system – set out in its planning green paper – could lead to a reduction of up to 40% in the number of affordable homes delivered each year.

This is because under Section 106, private developers are obliged to build a minimum number of affordable homes on sites on which they are given permission to build new properties.Around 64,000 of the 162,000 affordable homes to be built in England between April 2008 and March 2011, will be delivered through Section 106 agreements. And, under existing government plans, at least another 162,000 affordable homes are planned for the period between April 2011 and March 2014.

Federation Chief Executive David Orr said: "Much of what the Conservatives propose in their green paper is positive, and we support the party's drive to create a simpler, more transparent and consistent planning system."

However, he added: "The proposal to scrap Section 106 and replace it with a tariff system requires a leap of faith that the delivery of new homes will be maintained."

(CD/GK)