1. EAST MIDLANDS COUNCILS Affordable Housing Seminar 19 June 2013 Chan Kataria, Group Chief Executive

2. About EMH Group  EMH Group formed 65 years ago  17,000 homes, £90m turnover  Working with 35 local authority partners  Leads the Quantum Development Consortium  Develop 200-300 affordable homes a year  Annual capital spend of £30m  Rural specialist through Midland Rural Housing (MRH)  Help to Buy Agent for East Midlands region  Administers the Mortgage Rescue Scheme (MRS)  Established the EMH Academy providing apprenticeships  Care and support business with c£20m turnover  Long established partnership with builders

3. Development Context  Development capital subsidies are reducing  Affordable Rents do not increase development capacity in this region  Borrowing costs are rising and banks are only lending on short term basis and with onerous covenants  Welfare reform will have significant impact on viability and sustainability of schemes  Asset management disposals to pay for development is not sustainable in the long term  Housing market conditions are uncertain, reducing the viability of mixed tenure schemes  Competition for planning gain sites is driving up costs  New regulatory pressures designed to ring-fence social housing activities will restrict development plans

4. Partnership With Local Authorities – What Works?  Support on political, strategic and financial basis  Understanding and acceptance of impact of housing investment on employment, health, care and support  Engagement with government on role of HAs and value of housing investment  Understanding the current operating context and restrictions on HAs  Clear strategic housing objectives and LIPs based on robust evidence of need  Consultation and engagement on development of housing and planning policy and strategy

5. Partnership With Local Authorities – What Works?  Joined up policy on housing, planning and older persons’ strategy  Adequate resources for the “enabling/strategic” function  Strong, timely support for HA bids to HCA  Financial support through New Homes Bonus and RTB receipts to support development of affordable homes  Subsidised land to support housing development  Clear planning policy on s106 sites  Contribution from commuted sums  Engagement of LEPs with the housing agenda

6. Rural Housing  East Midlands Rural Housing Group identified need for 1600 rural homes in the region  Support for Rural Housing Enablers  Engagement from the Parish Council and local community  Clear exceptions policy in Local Development Framework  Identification of exception sites  National/regional rural homes target are missing  High level of pre-planning consultation with local stakeholders and planners will overcome opposition  Establishment of CLTs/community led development to attract funding  NPPF makes it possible for exception sites to contain market rents to subsidise affordable homes

7. Examples  Leicestershire CC capital contribution for extra care scheme bid on Winchester Road to deliver their older persons’ strategy  County Council funding for Rural Housing Enabler in Leicestershire  Leicester City support for mixed tenure, housing and care scheme with land subsidy in Manor Farm scheme  North West Leicestershire DC funding to pay for additional costs relating to higher aesthetic specification at the Leys scheme in Coalville  County, Blaby DC and parish council made joint contributions from NHB to fund rural exception site in Sapcote  Blaby DC offered loans to first time buyers at affordable rates  Establishment of Community Land Trust in Youlgrave

8. Comments and Questions