First Homes: Changing The Face Of Affordable Housing

• Published date: 26 August 2021
• Law Firm: Winckworth Sherwood
• Author: Colette McCormack and Lindsay Garratt

The First Homes scheme is part of the Government's commitment to overhaul the planning system and increase home ownership. It consulted on First Homes last year and on 24 May 2021 published Planning Practice Guidance on First Homes, accompanied by a Ministerial Statement. The guidance and statement provide details on this newest type of affordable tenure and how it will be implemented. Whilst the terminology will be very familiar to those involved in discount market sale affordable housing delivery there are some key differences, not least, because all schemes delivered by S106 applicant contributions must now provide a minimum affordable quantum of 25% as First Homes. This will have a major impact on the type and tenure of all affordable homes now to be delivered.

Here's what you need to know:

• At least 25% of all affordable housing units delivered through applicant contributions must be First Homes. Template planning obligations are to be published which can be used as a basis to secure First Homes and the necessary restrictions on use and sale.
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