Critics say homes scheme falls short; Government trying to help rural buyers.

Byline: William Green 

THE Government was yesterday warned much more needs to be done to boost rural affordable housing after unveiling its latest initiative.

Housing Minister Ian Austin announced that shared ownership properties in 13,000 small rural settlements in England - hundreds of them in the North East - will be protected to ensure they remain in the social housing sector.

The plan covers communities across Northumberland, County Durham and Tyne and Wear and is designed to help first-time buyers struggling to find local homes.

Buyers will be restricted to purchasing 80% of shared ownership properties or have to eventually sell them back to providers - such as housing associations - if they acquire a 100% stake.

But the measures will only apply to all new shared ownership leases granted after September 7, while it is unclear how many future housing schemes will actually go ahead.

Areas in the North East to benefit include parts of Prudhoe, Ponteland, Stocksfield and Bamburgh in Northumberland and Tow Law and Cornforth in County Durham, The National Housing Federation, which represents England''s housing as-sociationswelcomed the moves but said the Government would need to go much further to combat a "chronic shortage" of rural affordable homes.

It estimates 100,000 new homes need to be built in the countryside over the next decade to meet demand.

Chief executive David Orr said: "The Government clearly understands the importance of protecting the supply of affordable housing in rural areas.

"But with 750,000 people on waiting lists for affordable housing in the English countryside, clearly much more needs to be done to tackle the housing crisis in our villages and market towns."

Hexham ConservativeS MP Peter Atkinson said planning rules imposed by the Government were hampering developments.

"What the Government obviously has decided to do is something we have been urging them to do for many years. But it is all very well to talk about it, we want to build more houses," he said.

David Coulson, North East rural affairs spokesman for the Royal Institution of Chartered Surveyors (RICS) said the measures would help young people and families "crying out" for affordable homes and stop them being bought by outsiders on the open market.

"Government action in this area must concentrate on strengthening rural economies and keeping housing affordable is one part of helping communities thrive and grow," he added.

Mr Austin said: We are determined to help provide more homes in rural areas and help first-time buyers on to the property ladder."

The Government is also increasing support for community land trusts (CLTs) - private bodies that own or control land and assets for the benefit of the local community, often providing shared ownership or social rented homes.

CAPTION(S):

HOME, SWEET HOME The Government wants to give rural first-time buyers a better chance of finding a home near where they grew up.