PRIVATE SECTOR
HOUSING RENEWAL STRATEGY
JUNE 2003
Contents
Page No.
Contents 2
Chapter 1 Introduction 3
Chapter 2 The Strategic Context 4 - 5
Chapter 3 Profile of the City of Salford 6 - 16
Chapter 4 Current Private Sector Activities 17 - 30
Chapter 5 The Housing Market Renewal Initiative 31 - 33
Chapter 6 Resources 34 - 36
Chapter 7 Consultation & Customer Engagement 37 - 39
Chapter 8 Responding to the Regulatory Reform Order 40 - 46
Policy Appendix A
Key documents 47
Appendices
Private Sector Housing Strategy Action Plan Appendix B
Appendices Other
CHAPTER 1
Introduction
Salford’s Private Sector Housing Renewal Strategy and Policy is the result of a rigorous process involving:
· An understanding of wider national, regional and local strategic objectives and priorities;
· Identification and analysis of local needs, issues and expectations;
· A thorough understanding of our housing markets
· Assessment of the impact of current interventions, actions and housing renewal tools;
· Extensive consultation as to priorities and the development of new interventions and tools with our partners, stakeholders and customers;
· A reasonable prediction of the likely resources available in the short to mid – term;
As a consequence of the application of this ‘fit for purpose’ process the City Council has been able to develop a Strategy and Policy that is current, relevant and deliverable.
Underpinning the process have been the involvement of our partners and the engagement of customers. We have undertaken:
· Customer / community ‘road shows’;
· Consultation video to engage as many customers as possible;
· Stakeholder Events;
· Presentations and discussion at a number of partnerships including Regeneration Partnership Boards, the Private Landlords Forum etc;
· The participation of Elected Members through the use of questionnaires and through Scrutiny.
Policy options have been examined in detail and as well as the adoption of many of the effective actions and interventions already undertaken in Salford, we intend to develop a range of new tools over the coming months that will help further achieve our broader strategic objectives and meet the challenges of poor quality homes, the collapse in demand for housing in many parts of the City and the need to support our vulnerable homeowners and occupiers.
We are determined to respond effectively to the many opportunities provided by our Housing Market Renewal Pathfinder status and in doing so we are committed to developing and improving our Private Sector Housing Renewal Strategy in collaboration with all our partners and stakeholders during the next 12 months and to ensure it remains fit for purpose.
CHAPTER 2
The Strategic Context
The Salford Partnership, our accredited Local Strategic Partnership, has a clear Vision for the City:
“ To create a City where people choose to live and work. We aim to improve the quality of life for all our citizens…”
7 themes are identified in the Community Plan as priorities to achieving this Vision:
q A Healthy City;
q A Safe City;
q A Learning and Creative City;
q A City where Children and Young People are valued;
q An Inclusive City;
q A City that is Good to Live in;
q An Economically Prosperous City;
Linked to these priorities are 6 pledges established by the City Council which aim to compliment the priorities and targets contained in the Community Plan and to deliver the Council’s own Mission Statement to:
“ To create the best quality of life for the people of Salford”
Pledge 1 – Better Education for All;
Pledge 2 – Quality Homes for All;
Pledge 3 – A Clean and Healthy City;
Pledge 4 – A Safer Salford;
Pledge 5 – Stronger Communities;
Pledge 6 – Support for Young People.
Salford’s Vision for housing is summarised in Pledge 2 – that everyone who lives, or wants to live in Salford will have access to and the choice of a quality home.
Housing, and especially housing renewal, also impacts on the achievement of many if not all of the Pledges of the City Council and theme priorities of the Salford Partnership.
In addition to the Community Plan and City Council pledges the Private Sector Housing Renewal Strategy has been influenced by:
Salford’s Housing Strategy 2002 – 2005
Key relevant priorities in the Housing Strategy include:
- Maximising investment from public and private sources;
- Working with homeowners and private landlords to help them manage and maintain their properties effectively;
- Working with a wide range of partners to reduce unfit and empty private sector housing by at least one third by 2004.
Salford’s Neighbourhood Renewal Strategy
This sets out an agreed framework and plan for positive change within neighbourhoods including:
- The identification of Central Salford as our key investment priority;
- Develops a neighbourhood management approach;
- Prioritises local planning;
- Emphasis’s partnerships.
Salford Shadow Supporting People Strategy
Confirming priority needs and the resources identified to meet these needs through various actions and interventions including support for vulnerable homeowners and occupiers.
The Council’s Capital Strategy
The Capital Strategy provides the capital-planning framework for this and future years investment and focuses investment on the Councils priorities and Pledges.
In addition to strategic linkages detailed above other influencing strategies and policies include:
- The Regional Housing Strategy Scoping Paper;
- The Communities Plan: Building Sustainable Communities;
- Home Energy Conservation Act;
- Regional Planning Guidance;
- Empty Homes Strategy;
- Crime and Disorder Reduction Strategy.
Chapter 3
Profile of City of Salford Private Sector Housing Stock
Housing Market Data
The City Of Salford is a city of Contrasts ranging from a dense urbanised core at the heart of the Greater Manchester conurbation to the East, to established suburban housing areas of high value housing and green belt to the West.
The City covers an area of 37 square miles and a population of 224,300
[Source: Census 2001] and a total housing stock in the region of 100,793
[HIP 02/03]
Average house prices in Salford range from £44,240 for a terraced property to £142,331 for a detached property. [Source: Land Registry 2003]
The figures below show average values between 1995 and 2001. The graphs show that the gap between the total HMR area and the surrounding area is widening.
The average house price for a terraced property is not reflective of the property values in areas of the City where housing markets have failed or shown signs of market change affected by the surrounding decline of the area.
This can be found in areas of the City such as Seedley & Langworthy, Charlestown and Kersal, Higher & Lower Broughton, Weaste and Duchy.
Where house values have been affected due to the decline of the surrounding area and seen property values fall below £10,000. This has left homeowners with mortgage debt greater than the value of their homes and the need for the City to address those issues around negative equity in these priority areas.
The priority areas identified above are those that can be found in the Housing Strategy and are included in the Housing Market Renewal Pathfinder area of Central Salford. The work of the pathfinder will seek to address the restructuring of areas where housing market collapse and obsolescence has occurred or in danger of occurring.
The housing market in other more affluent areas of the City, in the west such as Boothstown and Worsley are attracting prices in the region of £250,000 plus.
3.2 Demographic Data
3.2.1 Population trends
During the 1990s, the population of Salford has declined slightly, particularly due
to out migration. However, household projections to 2016 suggest an overall increase in the number of households, mainly resulting from a predicted increase in single person households. [Source: Housing Market Demand Study 2003]
3.2.2 Profile of housing stock and households
Some key facts include:
· Around 6% of all stock is void, above the national average of 3.9%
· Housing stock is generally older than the national average despite widespread redevelopment in inner city areas during the 1960s
· 60% of households identified repair problems, the commonest include problems with external windows, dampness and cold/heating problems
· Around two-thirds of those in need could not afford to rent privately or buy; renting from a social landlord was the likeliest solution, although 40% would need benefit assistance.
·
3.2.3 Residential mobility and migration
Around 7% of households had moved in the preceding year 2001/02 and private renters were most likely to have moved during this period. Households moving within Salford tended to remain in the same sub-area although several mobility trends emerged, including the movement of household from Little Hulton to neighbouring areas of North West Salford.
Households migrating into and out of Salford tended to be more affluent and economically active and moved for employment reasons. In contrast, households moving within Salford tended to move to improve their housing circumstances and/or secure independent accommodation.
It is important to consider the impact households in need have on overall housing requirements. The majority of households are in need because their current accommodation is in poor condition and remedial measures to counteract these conditions may offset the requirement to move. In contrast, if a household has to move, it is important to assess the extent to which they can afford.
Household income available for housing was compared with the cost of accommodation in different tenures. Around two-thirds of those in need could not afford to rent privately or buy; renting from a social landlord was the likeliest solution, although 40% would need benefit assistance.
The table below summarises the number of households in housing need by sub-area, based on the number who cannot afford to rent local authority accommodation without financial assistance.
The data also assumes the household has to move to alleviate its need, intends to move within its current sub-area and local authority accommodation is available.
Table to show estimate of housing requirements by sub-area: Source: Housing Market Demand Survey 2003
AreaLittle Hulton / North West Suburbs / Cadishead / Irlam / Urban South / Urban North / Inner City West / Inner City East
Occupied stock (+) / 4441 / 16239 / 7531 / 15314 / 20732 / 18822 / 11446
Net change in demand (+) / -769 / 621 / -70 / 96 / 160 / -1102 / 51
Concealed households
(As per DETR) (+) / 153 / 544 / 251 / 548 / 485 / 412 / 283
Anticipated development (-) / 144 / 330 / 687 / 190 / 736 / 360 / 851
Vacant social stock (over 2%) (-) / 428 / 51 / 18 / 35 / 130 / 693 / 707
Vacant private stock (over 4%) (-) / -9 / -118 / -21 / 193 / 0 / 492 / 341
Net housing requirements / 3262 / 17141 / 7028 / 15540 / 20511 / 16587 / 9881
Net surplus/ deficit in stock / 1179 / -902 / 503 / -226 / 221 / 2235 / 1565
Households in need / 421 / 657 / 431 / 1364 / 1140 / 2168 / 1222
3.3. Economic Circumstances
The City as a whole is experiencing a population decline of 6% and an increasingly ageing population. This has been further demonstrated through the results of the Socio- Economic study carried out as part of the Private Stock Condition Survey in 2001 showing that 23.7% are in the 65 years and over category. 26.6% of the head of household were retired compared with 26.6% in receipt of a means tested benefit and 61.2 % who were employed.
The 2001 census data for Salford also shows 8% of its population is in the 65-74-age category. The average age for Salford is 38 years of age.
The NRA study area has demonstrated that 21% of respondents stated that there was a registered person with a disability in the household equating to 105 cases. [Source: The Keegans Group NRA study 2003].
The 2001 Census data also demonstrates this point showing that Salford has 9.53% who are economically inactive due to being permanently sick or disabled. This being higher than the average of 5.3% within England and Wales
16% of Salford’s households are made up of single pensioner’s who live alone compared with the national average of 14%. [Source: Census 2001]
The level of income per household within the Private Stock Condition Survey of 2001 Identifies 61.2% as being employed, 7.8% whose combined income is below £13,000 per annum with 26.6% in receipt of a means tested benefit.
The level of income per household within the NDC NRA study area, also relates to a large part of the HMR area as having an income £0 - £20,000. This divides into 35% under £10K and 39% between £11,000 and £20,000.
It is recognised that this ageing population will have an impact upon future service and delivery in Salford and the way in which Private Sector Housing activity is targeted to address conditions and improvements to property occupied by older residents such as adaptations to promote independence.
In the Neighbourhood Renewal Strategy it states that Salford is placed as being the 4th most deprived local authority area in the North West and 28th nationally according to the 2000 index of Deprivation. 15 out of 20 wards in the City are within the worst 20% nationally. The loss of almost a third of the City’s traditional employment base over the past 30 years has had a marked effect on Salford, with areas blighted by physical dereliction and social deprivation.
The 2001 Census shows that Salford has a 39.33% economically active population in the City. This compared with an average of 40.55% within England and Wales. 13.53% are economically inactive due to retirement compared with the England and Wales average of 13.54%.
The Census reports that 3.81% are economically inactive due to unemployment with 10.25% that have never worked and 28.29% who are classed as long-term unemployed.5.89% are economically inactive due to looking after family or the home.
The Keegans NRA study for the NDC area has indicated that 40% of respondants stated that they were unable to fund the improvement work required to their properties and that 28% stated that where work was required to their property respondants where not aware of how thy intended to pay for the works required.