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Additionality of affordable housing

Posted on: 26 March 2013
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Filed under: News

Research carried out by Savills on behalf a group representing London’s largest housing association argues that the way the government measures the value of affordable housing in fundamentally flawed.  The case for Government investment in affordable housing is based on assumptions about the displacement of market homes. The Department for Communities and Local Government carried out its impact assessment of the current affordable homes programme using the assumption that the additionality of affordable homes is 50%. This says that for every two new affordable homes, there is displacement of one new market home. The report suggests that the government could deliver more by investing in affordable housing.

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