Developers are finding it difficult to deliver affordable housing on the island, the government has acknowledged in its response to a youth report on housing.
The Council of Ministers has accepted all six recommendations from the Youth Select Committee’s report on young people and housing, with affordable housing targets now under review.
The response confirms that government is reviewing the percentage of affordable housing required from developers, following evidence from young islanders about the barriers they face in accessing housing.
It said that it is “recognised that private developers currently find it extremely challenging to meet the existing 25% affordable housing yield required under Housing Policy 5”.
The Department of Infrastructure said it works “closely with developers to achieve this target and is acutely aware of the pressures arising from increased construction costs and labour shortages since before the COVID-19 pandemic”.
An ongoing review is considering the percentage of affordable housing required, including whether different treatment is needed for greenfield and brownfield sites and the current threshold of eight dwellings.
Committed sums agreed with developers will remain “ring-fenced solely for the delivery of additional affordable housing on the island”, the response states.
Standards
On landlord regulation, the government accepted recommendation three, which calls for regulations under the Landlord Registration (Private Housing) Act to be prioritised, with a report back to Tynwald due by the end of 2026.
The response confirms: “The drafting of the regulations is advanced. Once complete, consultation will need to take place, after which any necessary amendments can be made.”
The government also accepted recommendation five, which calls for more suitable social housing for care leavers and vulnerable young adults, with the DoI already reviewing the social housing allocation policy, which should introduce a dedicated priority for care leavers.
In a foreword to the government’s reply, the chair of the Housing and Communities Board, David Ashford MHK, said the report had “provided valuable insight into the barriers faced by their generation”.
He added: “The report has already shaped ongoing reviews of first-time buyer support, affordable housing provision, landlord regulation, housing standards, and the allocation of social housing.”