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Planning proposals could cut delivery of rural affordable housing in half, NHF finds

Around 32,000 new affordable homes and half of new rural affordable housing could be at risk because of new planning rules proposed by the government.

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Some houses in a rural area
The government’s plan to remove affordable housing requirements for medium development sites could “significantly harm rural areas” (picture: Alamy)
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LinkedIn IHPlanning proposals could cut delivery of rural affordable housing in half, NHF finds #UKhousing

LinkedIn IHAround 32,000 new affordable homes and half of new rural affordable housing could be at risk because of new planning rules proposed by the government #UKhousing

Analysis by the National Housing Federation (NHF) has found that the government’s plan to remove existing requirements for new medium development sites – between 10 and 49 homes – to deliver affordable housing would “significantly harm rural areas”.

Currently, Section 106 requires developments of 10 or more homes to deliver a proportion of affordable housing. 

This requirement is responsible for delivering almost half of all affordable housing in England, with the rest delivered through grant funding.


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The NHF said the new proposals to scrap this requirement would have “disproportionate consequences” for rural communities, where nearly all homes are delivered on sites of fewer than 50 homes.

Last year, Section 106 accounted for more than half of all new rural affordable homes. This means removing this requirement could lead to the loss of half of future rural affordable homes over the next decade, the NHF believes.

Kate Henderson, chief executive of the NHF, said the body’s members are calling on the government to scrap these proposals.

She said: “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. 

“This requirement for affordable homes on medium sites is one of the most important ways we have of ensuring affordable homes are being delivered in the most rural areas. 

“Removing it could put half of future rural affordable housing at risk leading to increased waiting lists, rising homelessness and staff shortages in local schools and businesses.

“If the government is committed to building the homes needed across the country and supporting rural communities to thrive, it must not weaken one of the key tools we have to deliver affordable homes in the places that need them most.”

The Ministry of Housing, Communities and Local Government has been contacted for comment. 

Research by housing association English Rural in May sought to “dismantle” the myth that rural housing costs more to run, in a bid to boost development.


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