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Affordable housing losses is linked to Office-to-Residential conversions, warns LGA


affordable housing


New analysis by the Local Government Association (LGA) reveals that nearly 24,000 affordable homes have been lost over the past decade due to office-to-residential conversions under permitted development rights (PDR).


Since 2015, 95,962 homes have been created through PDR, which bypasses the requirement for full planning permission. Without this process, local authorities are unable to enforce contributions from developers toward affordable housing or infrastructure, exacerbating housing challenges.


The LGA, representing councils in England and Wales, argues that PDR undermines local planning processes, weakens community input, and limits councils’ ability to oversee the quality, supply, and location of housing in their regions.


Calls for Change

Amid government efforts to reform the planning system and increase the availability of affordable homes, the LGA is urging the government to revoke unrestricted PDR. They are also calling for controls to ensure homes built under PDR meet acceptable standards and contribute to local infrastructure.


LGA Housing Spokesperson Cllr Adam Hug highlighted the issues caused by PDR: Permitted development allows the conversion of offices, shops, and other premises into homes without the obligation to provide affordable housing. This not only results in substandard housing but also deprives councils of vital Section 106 contributions needed for infrastructure and affordable housing during a time of critical demand.

“To deliver quality housing, councils need greater powers, resources, and funding. We are ready to work with the government and the housing industry to achieve this.”

By addressing the limitations of PDR, the LGA aims to create a fairer housing system that supports both affordability and quality.

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