HALF of affordable new homes in rural England are under threat as the government considers dropping quotas for private developers, according to the National Housing Federation (NHF).

Analysis of government figures published yesterday shows that more than half of the affordable housing stock in these areas is built on developments where quotas would be relaxed by the proposal.

Ministers are looking to ease regulations for new projects for between 10 and 49 houses, hoping this will accelerate rates of housebuilding.

But ending quotas for these types of building projects could cost rural England 32,000 affordable homes over the next 10 years, according to NHF figures shared with the Guardian.

They are expected to make a final decision in the coming weeks whether to end affordable homes quotas for projects of this size, known as section 106 agreements.

If the government pushes on with this plan, developers could opt to make a cash payment to local authorities instead.

The NHF speaks for affordable housing providers and housing associations in England. Chief executive Kate Henderson urged ministers not to axe the quota on medium sites, which she said is “one of the most important ways we have of ensuring affordable homes are being delivered in the most rural areas.”

On top of reducing the stock of affordable homes, it would lead “to increased waiting lists, rising homelessness and staff shortages in local schools and businesses.

“Rural families are already in the most acute need of affordable homes, often priced out of the communities they call home, and these proposals risk making the rural housing crisis even worse.”

A Ministry of Housing spokesperson said it had yet to take a decision on section 106 agreements but that the department is “committed to making the process simpler and more transparent.” Defend Council Housing chairwoman Eileen Short told the Star that plans “to give even more leeway to private developers, so they continue to wriggle out of building the homes we need. “Cash payments to underfunded local authorities are no substitute for genuine council homes that the decent, secure and at a rent we can afford.”
And Acorn board member Eleesha Taylor-Barret said: “For too long developers have been able to under provide when it comes to affordable homes, and even more so if the government allows them to lower these quotas even further through changes to section 106.”