Filling the emptiness

This article appeared in Inside Housing / 17 December 2010.  To view the online version click here...

There are thousands of empty homes in the UK but now three new solutions are at hand, says Sarah Lines, director at Cobbetts.

The number of empty homes across England is in excess of 700,000 and has been the subject of high profile campaigns for many years (not least Inside Housing’s Empty Promise campaign).

The coalition government has recently made three announcements that should create new impetus to tackle the problem.

HCA funding

The comprehensive spending review contained the first announcement: £100 million will be made available as part of the Homes and Communities Agency’s affordability programme for empty homes.

New homes bonus

The proposed new homes bonus scheme heralds the second: this scheme should encourage local authorities to renovate and bring back into use empty homes (and new build) for financial reward. The precise details are being consulted upon - the closing date is 24 December. This second announcement has been bolstered by a third proposal to count empty homes brought back into use as part of a local authority’s housing supply targets.

Funding sources exist but are scarce. They include grant funding from local authorities to owners of empty properties as well as section 106 monies for social housing. Local authorities are required to have a published strategy and policy for dealing with empty properties in their area.

The legal situation

How do these announcements affect local authorities’ legal ability to bring empty properties back into use? There is no real legal bar. There are many powers ranging from compulsory purchase orders, to powers under the Town and Country Planning Act (if the building becomes an eyesore), to action under the Building Act (if the property is dangerous).

In addition, there are empty dwelling management orders, which allow local authorities to refurbish and bring back into use empty properties. Unfortunately, the process involved is complex and has hardly ever been used. This is despite the simplified guidance and model documents produced and available on the Empty Homes website. A key concern must be the likely effect of staffing cuts within local authorities.

Big society

David Cameron’s ‘big society’ is also taking its own action to tackle the problem.  I have been working with a community social enterprise organisation which is working in partnership with its local authority and other like-minded investors to buy/lease empty properties and bring them back into use using their own apprentices. This has achieved the triple benefit of improving the local area, relieving housing need and giving unemployed young people the opportunity to acquire trade skills. There are also community land trusts which operate schemes in their local areas.

The campaign at local and central government level and at the heart of local communities is gathering momentum and the initiatives we need will make a real difference.

No one is likely to say that the proposals will eradicate the problem but let’s not underestimate the significance of the potential.

For further information contact Sarah Lines at sarah.lines@cobbetts.com