Homebuy or Shared Equity Scheme: Approval by the States (P163/2011): Ministerial Comment

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A decision made on 2 December 2011:

Decision Reference: MD-PE-2011-0105
Decision Summary Title	P/163/2011 - Homebuy or Shared Equity Scheme: Approval by the States – comments from the Minister for Planning and Environment		Date of Decision Summary:	01.12.2011
Decision Summary Author:	Chief Officer, Department of the Environment		Decision Summary: Public or Exempt?	Public
Type of Report: Oral or Written?	Written		Person Giving Oral Report:	n/a
Written Report Title	Comment on P/163/2011 – Homebuy or Shared Equity Scheme: Approval by the States		Date of Written Report:	01.12.2011
Written Report Author:	Chief Officer, Department of the Environment		Written Report : Public or Exempt?	Public
Subject: P/163/2011 - Homebuy or Shared Equity Scheme: Approval by the States
Decision(s): The Minister for Planning and Environment has approved the comment as drafted
Reason(s) for Decision: That the States should be aware of his comments on the report and proposition
Resource Implications: None
Action required: Comments to be forwarded to the States Greffe to present to the States
Signature: Deputy R C Duhamel		Position: Minister for Planning and Environment
Date Signed:		Date of Decision

Homebuy or Shared Equity Scheme: Approval by the States (P163/2011): Ministerial Comment

Statement under Standing Order 37A [Presentation of comment relating to a proposition]

This comment was approved by the Minister for Planning and Environment during the morning of Friday 02 December 2011 but, owing to an administrative error, was not received by the States Greffe until after noon that day.

P/163/2011 – Homebuy or Shared Equity Scheme: Approval by the States.

Lodged au Greffe on 30th September by Senator A.Breckon.

Comment from the Planning and Environment Minister

As the Senator rightly points out, the Homebuy scheme under P74/2008 was introduced with the right intent in order to increase the ability for people to gain entry into the home ownership market at a price which was affordable.

The scheme was successful in delivering this home ownership dream to 46 families at the La Providence site in St Lawrence.

It is also a matter of record that the scheme was reviewed by the Comptroller and Auditor General and the Public Accounts Committee in 2010.

The results of those reviews are a matter of public record, as was the input and position of the P&E Department.

In short, whilst the department disagreed with some of the emphasis placed on items within these reviews and some of the conclusions formed, it has nonetheless agreed to work with the Comptroller and Auditor General and the Public Accounts Committee in reviewing the scheme and especially the Supplementary Planning Guidance which is required.

The commitment to bring these details back to the States Assembly has already been given during the debate on the Island Plan earlier this year, following debate on the amendment (amended by the P&E Minister) from the Senator on this issue.

Proposition P/48/2011, Amd 24(1) was accepted by the Assembly on a standing vote, and that amendment is reproduced below for information.

PAGE 2 –

Substitute the words ‘a shared equity scheme established by law’ with the words, and associated footnote, “a form of intermediate housing, be that Homebuy or another/alternative form of shared equity housing(1)"

“(1) The Jersey Homebuy scheme is the subject of review. Whatever the form of intermediate housing ultimately adopted following that review it must be soundly based, robust and have clear operating guidelines, which will be approved by the States.”

Work on the Homebuy guidance was effectively placed on hold during the Island Plan debate, as the principle of the scheme could have changed as a result of that debate. However the principle of a Homebuy/Intermediate type of ownership as an aim is now included within the Plan.

Following this, a commitment was given in the Island Plan debate that a political steering group would be formed to consider affordable housing policy contained within policies H1 and H3 of the Plan, and that details would be brought back to the Assembly before the policies progressed. This work is ongoing, and it is more than appropriate for this group to consider issues in relation to Homebuy or its successor.

In accepting this proposition, there will be no impact on any other sites in the planning pipeline. A bespoke solution has been found for the planning scheme at Field 1218 Mont a L’Abbe due to the unique circumstances on that site and the planning permission which it received.

The other permission with reference to Homebuy is P/2007/0223 Fields 190-192 La Rue de la Sargente, St Brelade. However the planning permission on this site is much clearer than on the Field 1218 site, and it requires a 55% First time buy 45% social rent split. The permit states that Homebuy would only be considered where there is sufficient justification to do so. In the current circumstances, it is not considered that this justification exists, and therefore the development will be expected to deliver FTB and Social Rented properties.

The Minister for P&E is therefore happy to accept both parts of this proposition.