Affordable housing thresholds set by councils while they draw up Local Plans could be dismissed after a High Court case went against a North Yorkshire authority this week.
Craven District Council had its interim guidance on affordable housing in new developments quashed in a court battle with developer Skipton Properties on Monday.
The judge ruled that the council’s requirement that cash contributions be made for developments of six to 10 units containing less than 40% affordable housing “obviously is a policy” rather than just guidance, but could not be enforced as it has not been subject to proper consultation and review.
“We are very disappointed with the outcome of the case which will have implications for many other local authorities,” a spokesperson for Craven District Council said.
“The judge made it clear that the legislation in this area is confusing and many other local authorities have interpreted it as we did. This judgement makes it all the more important that we continue with our preparation of the Local Plan so that we have robust policies in place relating to affordable housing provision.”
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The council expects to publish its draft Local Plan in July, but in the meantime must rely on National Planning Practice Guidance for its affordable housing policy, which makes no affordable housing provisions for developments of less than 10 homes outside of specially designated areas.
“This was a well-intentioned but unfortunately not robust enough approach to adopt,” said Dr David Evans, past president of the Planning Officers Society.
“It’s quite possible that there are other cases that are similar to this where they don’t have an up-to-date Local Plan.
“That is why we are encouraging all the councils to get on with it. It’s a very laborious, intensive process, but it is so important that they proceed to get there.”
In his closing remarks, Justice Jay said he was “not oblivious to the practical difficulties” planning departments face from frequent changes to national legislation, but said they should focus on “timeous preparation” of Local Plans.
Craven District Council is due to face Skipton Properties at an inquiry in June, after the developer appealed to the Planning Inspectorate when it was refused permission to cut affordable housing at a development to 20%.
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