The tools for success: The election manifesto of the National Housing Federation

Wednesday, 14 April 2010 12:00 AM

We have a vision of housing associations continuing to enable people to reach their full potential by providing affordable, sustainable housing and services which are tailored to their individual needs.

Politically, housing has never been more important. During the economic boom years, affordable housing waiting lists reached record proportions, with four million people waiting to be housed by late 2007. Rising house prices meant that even young professionals were unable to buy homes without recourse to the 'bank of mum and dad'.

The recent downturn has made matters worse, leading to the collapse of private housebuilding and banks demanding huge deposits from first-time buyers. With access to decent housing becoming increasingly difficult, it is widely accepted that waiting lists will reach five million in 2010.

Affordable housing must now take centre stage. This will give lowerincome households a secure base from which to thrive and boost our economic recovery.

Housing associations build the vast majority of affordable homes and are the best possible partners to deliver the homes this country needs. They are able to provide specialist services tailored to local people's needs and are key players in the creation of cohesive communities, a vital role to prevent extremist parties playing on people's economic difficulties and fears.

The next government will have to decide what social housing is for, and how it will support people, neighbourhoods and our economic future. In this manifesto, we present a range of policies which will make our vision possible.

9 problems and 9 solutions

Building our economic recovery

Problem 1

Building the homes we need

In 2010, unemployment is expected to reach 3.2 million, housing waiting lists will grow to five million people and the number of new households increase by 252,000. However, the number of new homes being built is falling due to the collapse in private housebuilding.

Solution 1

Fund housing associations to build 150,000 homes between 2011 and 2014 for an investment of £11.7bn and continue to support the renewal of the housing market.

Problem 2

Using unsold homes

The lack of mortgage finance has left thousands of properties unsold which is in turn making developers reluctant to build.

Solution 2

Back housing associations' offer to manage unsold homes for market or sub-market rent.

Problem 3

Making housing greener

Domestic properties represent 27% of our total emissions and there is no clear strategy for carbon reduction.

Solution 3

Implement a national strategy to green all homes by 2050 and fund a pilot programme to improve the energy efficiency of social homes.

Opportunities for all

Problem 4

Improving access to social housing

The way social housing is allocated often means help is delayed until an individual has become homeless or vulnerable and, concentrates the most marginalised people together. In some areas, those on low incomes or waiting to have children have almost no chance of being housed.

Solution 4

Improve access to social housing by reforming the way homes are allocated so that, instead of only housing those in the most severe circumstances, a proportion is given to people who may not be as vulnerable but still find it difficult to afford a decent home.

Problem 5

Promoting affordable home ownership

An increasing number of people who cannot afford to buy a home are turning to shared ownership where they purchase a share of a property and pay rent on the other part. But they are being turned away by banks who refuse to provide mortgage funds even though these customers are less likely to default than the average homebuyer.

Solution 5

Compel the nationalised banks to make mortgage funds available for shared ownership and explore new ownership models. In return, housing associations will minimise the already minimal risk to banks by giving a 'buy-back guarantee'.

Problem 6

Saving our villages

A shortage of rural housing is causing villages to decline and threatening the survival of local services with one rural school closing every month and hundreds of country pubs and shops shutting down.

Solution 6

Save our villages by ensuring local housing authorities assess housing need in all rural wards every three years and publish an action plan to deliver affordable homes.

Enabling independence

Problem 7

Supporting vulnerable and older people

The number of people aged 65 years and over is expected to rise by over 60% in the next 25 years and there is a huge challenge in helping vulnerable and older people to live independently.

Solution 7

Save public money and avoid the greater costs of acute services by maintaining funding for housing support at current levels and focusing on prevention.

Problem 8

Tackling financial exclusion

Around 10 million people rely on sub-prime credit and are forced to pay interest rates of 200% APR or more, or borrow from illegal loan sharks.

Solution 8

Invest £20m to kick-start a major expansion in affordable credit for financially excluded people.

Problem 9

Ending the prepayment meter rip-off

Around 1.5 million gas prepayment meter customers are charged a premium to heat their homes even though they pay up-front and are often on the lowest incomes.

Solution 9

Stop the prepayment rip-off by ensuring energy companies do not charge prepay customers more than those on quarterly bills.

The next government should:
1. Invest £11.7bn to build 150,000 homes between 2011 and 2014.
2. Implement a national strategy to green all homes by 2050.
3. Reform the way social housing is allocated to meet a wider range of needs.
4. Ensure all rural areas are covered by an affordable housing action plan.
5 Compel the energy companies to end the prepay meter rip-off.

Read the election manifesto of the National Housing Federation

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