Praise for Peterborough over levels of affordable housing
Affordable housing has been deemed fit for purpose in Peterborough, un like in large parts of the UK.
Unlike many areas across England, affordable housing has been deemed suitable in Peterborough, a new study suggests.
Housing justice charity Shelter said the government has prioritised investment in affordable homes and called for sustained investment in cheaper social housing instead.
It comes after the government announced a £500 million investment into the existing Affordable Homes Programme in the Autumn Budget, aimed at delivering up to 5,000 social and affordable homes.
New research by Shelter has deemed affordable homes in Peterborough are 'affordable'.
Analysis of Office for National Statistics data shows the median weekly affordable rent for a one-bed property in Peterborough is £113.
Meanwhile, the 25th percentile of weekly gross pay in the area is £395.
It means a person in Peterborough living in affordable housing and earning this wage will spend around 29% of their income on rent.
The ONS deems an area 'affordable' if a private-renting household spends 30% or less of their gross pay on rent.
Income from benefits was not included in Shelter's research as it is difficult to estimate.
Regardless of benefit income, the charity argued "affordable housing ought to be affordable to an individual in work without needing government support via benefits".
The research found 42% of areas across England have 'unaffordable' affordable housing.
Polly Neate, chief executive of Shelter, said: "For decades now we’ve been haemorrhaging social homes and instead of replacing them, money is instead being funnelled into so called 'affordable homes', which too often just aren’t affordable to people on low incomes."
Ms Neate added social housing represents "the only genuinely affordable housing" and is "the only long-term solution to our housing emergency" because rents are calculated with local incomes and are lower than private rents.
She called on the Government to include sustained investment in building new social homes in its upcoming Spring Spending Review.
Shelter's research shows social housing is affordable for individuals on low pay in 98% of areas across England.
In Peterborough, those earning the 25th percentile wage will spend around 22% of their gross income on a one-bed social rental property.
Sean Palmer, executive director at homeless charity St Mungo's, said: "We all know there is a housing crisis – it has a real impact on our clients, pushing people into homelessness and extending the period people continue to suffer."
Mr Palmer added the Government's target of building 90,000 social homes per year "is fundamental to resolving the housing and the homelessness crisis".
A Ministry of Housing, Communities and Local Government spokesperson said: "We will deliver 1.5 million homes as part of our Plan for Change including the biggest boost to social and affordable housing in a generation.
"We have asked Homes England to maximise the number of social rent homes delivered, and future new investment will also prioritise this."