Agenda item

Gareth Bradford presented a report and gave a PowerPoint presentation which provided the Board with an update on progress in the development of Social Housing proposals and the evidence base. The presentation outlined the challenge presented by the ‘affordability challenge’ which varied across the region. He commented that no region had yet been able to meaningfully articulate ‘affordability, economic growth and productivity’. He advised the Board that this issue was addressed in the Industrial Strategy and the Strategic Economic Plan and commented on the need to attempt to unlock ‘Affordable Housing Investment Fund’ monies. He outlined the following issues which could be defined as the Board’s ‘red lines’:

·         Housing Revenue Account Borrowing Gap;

·         Right to Buy;

·         Quality

and invited the Board to let him have views which could be incorporated into a further report to the next meeting.

He suggested that supply of housing and land needed to be increased as did the quality of affordable and social housing. He commented on the need to assist the Ministry of Housing, Communities and Local Government to prompt HM Treasury to understand the integral role of affordability and social housing provision in achieving economic growth. He advised that the problems associated with affordability were likely to increase in the region. Rob Lamond commented that rental levels in the private rental sector were also increasing.

Gareth Bradford reminded the Board that the Housing Infrastructure Fund (HIF) bid had been agreed by the respective Leaders, the Local Enterprise Partnerships and major businesses in the area. He advised that the latter group had expressed concern on their ability to recruit staff due to affordability of housing options which had a consequential effect on their ability to expand. Councillor Peter Bilson suggested that this point be drawn to the attention of HM Government. Gareth Bradford requested that in the event of similar concerns being raised by local major employers that they be encouraged to submit such concerns in writing to him as this could be used as evidence and was worth more than anecdotal evidence.

He also commented on the costs incurred by employees who were forced to live a considerable distance from their place of employment due to the affordability of housing. He stressed that these comments should not be interpreted as employers not being willing to invest in the West Midlands but that it formed a consideration as to whether or not to invest given potential recruitment difficulties likely to be experienced.

Councillor Peter Butlin commented that a major employer had raised such concerns with him and colleagues. He reminded the Board that employees commuting long distances increased demand for car parking provision and also added to the highway maintenance requirements. Councillor Daren Pemberton supported these views and added that long distance commuters contributed very little to the local economy.

Gareth Bradford commented on the need to collate an evidence pack in connection with these issues with a view to its use in seeking additional investment and identifying the costs to local authorities. It was possible that money could be obtained to assist in the regeneration of town centres. A possibility existed that the region could be the first to model town centre redevelopment based on residential and employment opportunities.

Resolved:

1.    That any views on the ‘red lines’ outlined above be forwarded to the Director of Housing and Land with a view to a report on this matter being submitted to the next meeting of this Board;

2.    That any local major employers expressing concern with regard to the effect of ‘affordability’ on their ability to recruit staff and/or expand their businesses be requested to submit their concerns in writing to the Director of Housing and Land;

3.    That an ‘evidence pack’  be collated on the various issues now raised to be used to assist in seeking additional funds to regenerate town centres.