Affordable Housing Issues

The Department for Work and Pensions has released a report highlighting the potentially negative impact Article 4 Directions on the growth of affordable housing.

The report findings suggests that the introduction of the Article 4 Directions have restricted planning permissions for Houses in Multiple Occupation (HMOs) and obstructed the provision of affordable housing in the private rented sector. The report also suggests that property investors and buy to let landlords are reluctant to develop their HMO/multi-let portfolios due to the impact of Article 4 planning restrictions in some areas.

The RLA have previously voiced opinions to scrap Article 4 Direction and is now set to consult with the government on the findings of the report and will strive to look into what this will mean for local councils and landlords.