7. Affordable Housing

Current Approach

95. The current policy on securing affordable housing in new development is set out in Core Strategy Policy CS3. The policy splits the District into 5 housing sub market areas. The minimum requirement is:

• 40% affordable housing in the rural sub markets of Rural South West, Rural North and Central; and
• 30% affordable housing in the sub market areas of Market Harborough, Lutterworth and the Blaby Border Settlements (Broughton Astley and Fleckney)

Proposed Approach

96. The Strategic Housing Market Assessment (SHMA) identifies significant affordability pressures within Harborough District. In order to address these pressures a significant increase in future affordable housing delivery is required. This may suggest an increase in the percentage affordable housing requirement housing developers are asked to provide. However, in recognition of the need to ensure the viability of individual housing schemes and of the overall Plan, viability assessment work is ongoing to establish a realistic level of affordable housing requirement across all proposed housing sites. This will help to meet affordable housing need whilst ensuring schemes remain viable and deliverable in line with the National Planning Practice Guidance.

97. The Council will encourage the provision of low cost market housing, together with affordable rent and intermediate housing provision, whilst also supporting the need to provide older persons and retirement housing provision.

98. In addition, neighbourhood plans, based on an identified need, may set targets in excess of those identified in the new Local Plan through local housing needs surveys and may also set parameters for the type and tenure of affordable housing provision to meet local needs.