Unlocking affordable housing in the South Hams: SHDC said "bold moves for a brighter future"

South Hams District Council is "taking significant steps to ease the pressure on temporary accommodation" and "tackle the affordable housing crisis head-on", with "a variety of important and exciting projects underway".

At their Executive meeting on Thursday, 23 January, councillors confirmed their commitment to provide sustainable, quality and affordable housing solutions for residents, which will contribute to the long-term wellbeing of the community. Funds from the new Second Homes Council Tax Premium will help to achieve that objective.

The council is experiencing a significant increase in the cost of providing temporary accommodation, with residents spending longer on average without a secure home. The gap between the Local Housing Allowance (LHA) subsidy and the rising cost of rent is growing. That, and a lack of social rental properties, is increasing demand.

With only 8% of the total Council Tax paid coming to South Hams District Council for all its services, including housing, compared to 72% for Devon County Council, it is increasingly difficult to stretch finances.

Despite the predicted financial challenges, the Executive is proposing to increase its housing budget so it can support the delivery of new homes, including its own supply of temporary accommodation. Every property the Council provides will reduce its temporary accommodation spending by an estimated £25k a year. This will be funded by the New Homes Bonus and £603,000 from the Second Homes Council Tax Premium.

The council’s bought 17 homes under the Local Authority Housing Fund scheme, and attracted Government grants of £2.5 million in match funding. The decision to ringfence the second homes income for the very people who are impacted by the lack of available housing in the area demonstrates the commitment the council is making to tackling the housing crisis.

Councillor Denise O’Callaghan, Exec Member for Housing at South Hams District Council said: “We are doing some amazing work to address the housing challenges and continue to fulfil our promise to support South Hams residents with their housing needs as quickly as we can.

“We work best when we work together with our communities and partners. By working with Community Land Trusts, councillors and Registered Housing Providers, our dedicated Housing team can combine all their knowledge and use their combined skills to help plug these gaps. We continue to make the best use of any funding opportunities to try and make our limited funds go as far as we can.”

A number of housing projects in various stages of completion are underway, including:

• 39 new energy-efficient, 100% social rental homes in Clay Park, Dartington. The council contributed £623,000 to support this housing scheme in partnership with Transition Homes Community Land Trust and Aster Group.
• The delivery of a new temporary accommodation unit in Kingsbridge. This will support homeless households in need of temporary accommodation so residents can stay in the district wherever possible.
  125 new energy-efficient homes at the award-winning Collaton Park development in Newton Ferrers. This includes 46% affordable homes and properties for the over 55’s.  Eighteen of the affordable homes will be available through Newton and Noss Community Land Trust, strengthening the Council’s commitment to working with communities to deliver more homes where needed most.
• Working with LiveWest to create 35 social rented properties in Parker’s Way, Totnes.
• 24 energy-efficient homes in Ivybridge, with partners Plymouth Community Homes.
• The council’s own purpose-built properties in the Holywell Meadow development in St Ann's Chapel, includes eight social rented two- and three-bedroom homes and bungalows which are now fully occupied with resident families.
• Launched in 2024, the South Hams Housing Offer provides funding and support to help communities kickstart housing projects, identifying sites for affordable homes and connect with Registered Providers (of social housing) and deliver homes where and how they are needed most.

For more information on all things Housing, go to: www.southhams.gov.uk/housing