Jurisdiction(s):
United Kingdom

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Key definition

Affordable Housing definition

What does Affordable Housing mean? Affordable housing describes homes let or sold below open‑market terms to households whose needs are not met by the market, typically secured through planning control or public subsidy. England: A policy term defined in the nppf (Annex 2) and Planning Practice Guidance. It includes affordable housing for rent (covering social rent and affordable rent), discounted market sale housing (including First Homes), and other affordable routes to home ownership (for example, shared ownership). Delivery is usually governed by Local Plan policies and secured by section 106 agreements under the Town and Country Planning Act 1990. The former “Starter Homes” policy...

Affordable housing and planning in England: National Planning Policy Framework 2024, section 106 delivery, small sites, vacant building credit, rural/green belt exceptions, viability, Homes England and First Homes

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Practice notes

affordable housing

Affordable housing refers to homes offered to people struggling with housing costs whose needs are not satisfied by the open market. It can take a range of forms, but whatever the model, it is always made available at below market price and delivered either by local planning authorities (LPAs) or approved registered providers. The government funds part of new affordable supply mainly through its delivery agency, Homes England (see: Role of Homes England below). However, a substantial share is secured through the planning system from private developers. LPAs are obliged to ensure their local plans address requirements for both market and affordable homes. When an LPA identifies an affordable housing need, it should set policies that require market-led schemes to include a defined proportion of affordable homes—policy commonly starts at around 30%—which will usually be sold to, and managed by, registered providers...

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Web page updated on 21/05/2026

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