Martin Ford 05 November 2019

No starter homes have been built yet, investigation finds

No starter homes have been built yet, investigation finds image

None of the Government’s planned ‘starter homes’ have yet been built as legislation has not been implemented, a report by the National Audit Office (NAO) has found.

The Government pledged in 2014 to build 200,000 ‘starter homes’, to be sold at a 20% discount to first-time buyers aged under 40.

In 2015, £2.3bn was allocated to deliver the first 60,000, with £174m being spent by Ministry of Housing, Communities and Local Government (MHCLG)

However, not one starter home has been completed and much of the budget has been reallocated to other housing funds, the NAO investigation has concluded.

To date, 19 grants worth almost £6.5m have been awarded to 15 local authorities to prepare brownfield land, which will generate 444 new homes, of which 374 are expected to be affordable.

Homes England spent £15.4m of the £26m on offer from the Government to prepare brownfield land and is forecasting that it will generate 379 new homes, of which 98 will be affordable.

MHCLG has also used £151m to acquire and remediate land to be sold to developers and expects to receive £137.2m from the onward sale.

It predicts the spending will create 1,268 affordable homes and 3,907 market homes – but the NAO said they cannot be marketed as starter homes without the necessary secondary legislation in place.

The NAO’s report said that while some developers had marketed discounted properties as ‘starter homes’, they do not necessarily meet the criteria to be classed as starter homes as defined in the legislation yet to come into force.

Open for business image

Open for business

Andrew Knowles and Leena Gillespie explain how local authorities can reshape the future of Britain’s challenged high street.
SIGN UP
For your free daily news bulletin
Highways jobs

Project Engineer

Via
Competitive Salary
Via currently has fantastic permanent and fixed-term opportunities to join our Major Projects & Improvements Team as a Project Engineer Nottingham, Nottinghamshire
Recuriter: Via

Lead Project Manager

Via
Competitive Salary
Via currently has a fantastic opportunity to join our Major Projects & Improvements Team as a Lead Project Manager Nottingham, Nottinghamshire
Recuriter: Via

Highway Improvements Officer

Via
Competitive Salary
Via currently has fantastic opportunity to join our Major Projects and Improvements Team. Nottingham, Nottinghamshire
Recuriter: Via

Family Worker (Link Role) - Family Solutions - Harlow

Essex County Council
Negotiable
Family Solutions is an Early Help service in Essex working holistically with disadvantage families, with multiple difficulties to enable them to make England, Essex, Harlow
Recuriter: Essex County Council

Park Ranger

Royal Borough of Greenwich
£21.591 - £21.981
This is an exciting opportunity to be part of a dynamic team of staff responsible for the security, cleanliness and general maintenance and... Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich

Public Property

Latest issue - Public Property News

This issue of Public Property examines how how flexible workspaces can lead the way in regeneration for local authorities, Why local authority intervention is key to successful urban regeneration schemes and if the Government’s challenge of embracing beauty is an opportunity for communities.

The March issue also takes a closer look at Blackburn with Darwen Council's first digital health hub to help people gain control over health and care services.

Register for your free digital issue