Building of affordable housing 'must be maintained'

Posted: 22 Jun 2010 09:30:09 GMT

The government must commit to encouraging private construction companies to build affordable housing, according to one expert.

Ahead of George Osborne's emergency Budget announcement today (June 22nd), Steve Turner, spokesperson for the Home Builders Federation, has urged the chancellor to stick to the government's section 106 agreements.

These are designed to make sure all private developments include some affordable properties in order to tackle the UK's current housing shortage.

"It's vital that the government takes steps to maintain both private and affordable housing and clearly government money has been key to the increased supply we have seen in recent months," Mr Turner said.

He added that the economic and social consequences of dropping the agreements have become "quite clear".

The National Housing Federation recently warned that budget cuts for new projects, investment withdrawal and changes to governmental policy are currently making it too difficult for affordable homes to be built.

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