Ritchie unveils new housing agenda for Northern Ireland

Margaret Ritchie MLA, Minister for Social Development, today outlined her new Housing Agenda for Northern Ireland.

In a wide ranging statement to the Assembly, the Minister announced a series of new measures to tackle the housing crisis, compounded by rising property values across Northern Ireland.

Specifically it includes getting many more social houses built with existing resources than previously would have happened, giving many more people the opportunity to  get on the first rung of the housing ladder, a new eco village for Northern Ireland and many more mixed religion housing areas.

The Minister also announced a £7million start for the Village area of Belfast.

In her statement the Minister said:

“To deliver a new Housing Agenda it was clear that I needed to deliver more innovative and imaginative solutions than ever before.

“I am determined to tackle this crisis not simply manage it. That is why I took some time to research the issues and identify these solutions that will start to immediately address the affordability crisis of today and the lack of social housing for tomorrow.”

The Minister outlined plans to:

Build more homes- at least 5,250 in the next three years;

Make the existing co-ownership scheme more attractive for first time buyers including the immediate abolition of house value limits;

Bring forward proposals to establish a not for profit Mortgage Rescue Scheme;

Allow existing social housing tenants the chance to buy a stake in their homes;

Bring empty homes back into use through the development of an Empty Homes Strategy;

Together with the Minister of the Environment, introduce a Developers Contribution requiring future developments to include a proportion of homes for social and affordable housing; and

A new code for sustainable housing and a new procurement strategy that will increase the energy efficiency of new social houses whilst driving costs down.

“I don’t want to just build homes; I want to build better homes. More sustainable homes will lead to more sustainable communities. More shared future housing schemes are coming forward and this new housing agenda will help us realise our goal of a shared equal future.”

The Minister also outlined exciting new plans for the former Grosvenor Barracks Military Base in Enniskillen. “My Department will undertake a £40million regeneration project on the site of the former military base there. We will build nearly 350 mixed tenure homes that will solve the social housing crisis in Enniskillen for the next five years. As part of this development we will deliver the first Eco-village in the North, introducing a new ethos in the design process, setting new standards of construction and bringing benefits to the environment and residents alike.”

The Minister also announced that it was all systems go for work to begin to tackle the housing crisis in the Village area of Belfast. “The people of the Village have had to endure sub-standard housing for too long now. I gave them my word that I would not forget them and now that my budget has been finalised I am delighted to have been able to set aside substantial resources for work to begin in the area.

“I am impatient for progress. I want to see the actions and initiatives I have outlined today start to deliver us from this housing crisis sooner rather than later. This new housing agenda will deliver more social, more affordable, more energy efficient and more sustainable homes. But most of all I want it to deliver opportunity and choice for those who currently have little, and hope for those who have none.”

Notes to Editors:

1. There are currently over 38,000 people on the waiting list here for social housing. Over 20,000 of them are assessed as being in 'Housing Stress' and over 9,000 are officially homeless.
2. Sir John Semple published a Review into Affordable Housing in Spring 2007. It included 80 recommendations across a wide range of Government Departments.
3. The Minister has prepared an Implementation Plan in response to the Semple Report that will now be submitted for Executive Committee approval. This Implementation Plan includes details of when, how and what department will take forward 74 of the 80 recommendations that have been assessed as suitable.
4. The Minister received a report from Professor Alastair Adair who chaired a panel of 17 Housing Experts to report on Semple in light of the changing state of the housing market here.
5. The Minister also commissioned Baroness Margaret Ford, Formerly Chair of English Partnerships, to look at a number of funding and planning issues in the delivery of social housing in Northern Ireland.
6. The proposals include abolishing the capital value limits that apply to the existing co-ownership scheme and making it easier for co-ownership applicants to staircase out at lower rates from April this year. From April next year the Minister wants to allow some applicants to enter the scheme with as little as a 25% stake, but new eligibility criteria need to be established.
7. The Minister also agreed to explore a Not for Profit Mortgage Rescue scheme to help those who are in danger of being repossessed.
8. The existing house sales scheme will be extended from November 2009 to allow existing social tenants the chance to buy a stake in their home when they cannot afford to buy it all in one swoop.
9. From 1 April a new Code for Sustainable Homes will be applied to all new social houses to make them more energy efficient and environmentally friendly both in construction and occupation. This new code will mean a house built after April 2008 will be 25% more energy efficient than one built just two years ago.
10. A new Procurement Strategy will also be published in April 2008 to encourage Housing Associations to form procurement groups and realise up to 10% savings by increasing their bargaining powers and striking better deals to deliver new social homes. Housing Associations will also be encouraged to make even greater use of private finance and in response to the report from Baroness Ford, the Minister has agreed to reduce grant rates by 10% from April this year. The savings that will be realised through the new procurement strategy and the greater use of private finance will allow more homes to be built from the existing resources.
11. Media enquiries to Philip Maguire in DSD Information Office on 028 9082 9490, mobile 07788 108657. Out of hours please contact the Duty Press Officer via pager number 07699 715 440 and your call will be returned.