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Councils urged not to take cash in lieu of affordable homes

15/09/2006 - 11:32:49
Local authorities throughout the country are being urged not to accept cash payments from developers in lieu of social and affordable housing.

A number of years ago, the Government introduced legislation obliging builders to set aside 20% of all developments as social and affordable homes.

However, following intense lobbying from the building trade, the law was watered down to allow developers to hand over land or money in lieu of these obligations.

This has been blamed for the low number of social and affordable houses built in recent years, with developers handing over some €32m to local authorities rather than provide such housing.

The body set up by the Government to boost the delivery of affordable housing is now calling on local councils to only accept such financial compensation as an "absolute last resort".

The Affordable Homes Partnership says there is a desperate need for housing in the country and developers should be urged to build affordable homes rather than buy their way out of the obligation.

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