Understanding the five year housing supply position remains crucial for determining the potential success of residential planning applications, with Local planning authorities without a five year housing supply being more vulnerable to speculative planning applications.
The five year supply situation is soon going to change significantly. With the recent publication of the new draft National Planning Policy Framework, it is becoming increasingly clear that the Government’s proposed new methodology for calculating objectively assessed housing need (OAN) is likely to come into force as previously suggested.
Our latest research suggests that this will have a major impact on the five year housing supply position, with many local authorities in the North West seeing their OAN dramatically reduced; meaning that many more are likely to be able to demonstrate having a five year supply than at present.
To help understand this changing situation, our infographic shows the current five year housing supply situation compared to that which could apply if the new OAN is applied. At present 21 of the region’s 39 authorities are currently able to demonstrate a five year, but the image shows that this could reduce to only 7.
It should be noted that the new OAN figures are minimums and housing need can also include an additional allowance for economic growth. It should also be noted that the Government is now targeting delivery of 300,000 units per year and the proposed OAN figures will deliver only 225,000 nationally. However, the data here is presented as a ‘worse case scenario’ based only on the new OAN figures.
For further information on housing land supply issues or objectively assessed housing needs, please contact Matthew Good, on 0113 219 7107 or at email@example.com or Simon Peake on 0161 874 8742 or at firstname.lastname@example.org.