Housing experts warn that plans for more social housing could risk the problems and poverty of 1960s council estates, but law firm Cobbetts thinks differently
Richard St John Williams, partner and social housing specialist at Cobbetts LLP, said: “I agree that the demise of off-the-shelf units and conversion of RSL (registered social landlord) sites to all rent, whether social or intermediate, could create areas with a different dynamic, however they will certainly not be ghettos.
“Today, RSL sites have to be built to high standards in order for them to get government grants. Furthermore, until recently, RSL tended to be either for rent or shared ownership/shared equity with no outright sale and no one suggested they were ghettos. Only once grant rates fell and land values increased did RSLs start developing mixed scheme developments.
“The extremist view that we will see a return to the sink estates of the 1960’s is one that we should avoid latching onto. Those occupying on intermediate rents or rent to homebuy in the current market are those who would have bought on shared ownership normally. Whilst mono-tenures will exist, creating a different and possibly less desirable dynamic to the mixed tenures that have been encouraged in recent years, there will be no return to the down and out estates of the 60s and 70s.
“Whilst the situation is not as extreme as some are making out, the government, which has a major stake in most of the banks in the country and in effect fully owns Northern Rock and Bradford & Bingley should now be doing more to free up funds to kick-start the market which would result in the mixed tenure schemes coming back.”
