As more of London's workers are priced out of the housing market, local authorities must think differently about how they can house the UK's lower earners.
Westminster's Fair Share housing scheme will provide high quality sub-market rent accommodation in central London on a shared basis, with rents at a third cheaper than private sector rents.
Those that form an integral part of west end life, such as market traders, performing artists and hospitality workers and earning the London living wage (£8.30 an hour in 2011) will be eligible to apply for shared accommodation in the heart of the capital.
The tenants' circumstances will be reviewed after two years, and a sharer can move out, with either a friend or a new tenant moving in – just like the private sector.
The scheme is a working example of the proposals described in the council's civic contract, launched in November, which sets out how Westminster will foster strong relationships between work and citizenship. These bonds can be forged by cutting down on commuting hours, giving people more time to volunteer and contribute locally, and by the provision of a fair and flexible housing-allocation process.
Although sharing is prevalent in the private rented sector, it is not yet readily available through social housing. This scheme will prove very similar to the private sector, where tenants are responsible for payment of their own rent and contribute to shared costs.
An initial pilot will comprise of up to 25 units in the west end, in areas currently allocated for affordable housing initiatives. Depending upon the success of the scheme, further expansion will be considered. As far as we are aware no such initiative has been trialed elsewhere because of restrictions over how affordable homes are used, but diversity in our sector is no bad thing. As housing minister Grant Shapps has said, this could encourage other local authorities, developers and housing associations to create innovative products to resolve particular local challenges.
The homes that have been identified are located in inner urban areas, which are less suitable for family use. To deliver the scheme we are working in partnership with Barratt London, the Dolphin Square Foundation and Soho Housing Association.
The Fair Share housing will not revolutionise the affordable housing sector – but it could help alleviate some of the pressures on housing in high-rent areas, and act as a new product in the affordable housing market.
That is why we are choosing to pilot this now. We hope that others will follow suit in either trying something similar or developing alternative products to solve local issues. That, after all, is the essence of localism.
Ben Denton is strategic director of housing, regeneration and worklessness at Westminster council
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