Inventing our future Collective action for a sustainable economy

normally be able to move to full ownership over time by increasing their share in the equity of their
homes. This is also known as ‘staircasing‘.
8.35 All the above involve the combination of Social Housing Grant with private finance to obtain the
greatest output from the former, using it as ‘gap-funding‘ to make the housing affordable to the
resident.
Figure 15. Affordable housing products
Affordable
rent
Regional Housing Strategy for the East of England: 2005–2010
Affordable housing ‘products’ ëprodu cts’
Rented Expanded opportunity to own
Sub market
rent
Rights to buy
and acquire
HomeBuy
Social
HomeBuy
New build
HomeBuy
Open market
HomeBuy
8.36 The various products on offer have different financial arrangements that match households’
needs. The cover is not complete, and efforts are being made to develop other products. Local
authorities and other public bodies can already invest capital in alternative products which do not
have to fit within the statutory SHG regime.
8.37 Some private developers have created financial arrangements to permit new homes to be sold
significantly below market prices, i.e. as a form of ‘affordable housing,‘ and are typically aimed at
first-time buyers. This is to be welcomed in as much as it satisfies some of the need for housing
supplied below market price; however, it is of very limited value for overall supply in the Region if
the price subsidy cannot continue as a benefit for the second and subsequent purchasers. The
RHS supports the provision of homes for outright purchase at sub-market prices set in
the context of local affordability information, but only where there are arrangements to
maintain the properties affordability in perpetuity.
8.38 It is also of limited value when housing products are made affordable by lowering their quality in
terms of space standards, or in other respects. The new affordable housing required in the
East of England should be universally of a minimum standard commensurate with the
Housing Corporation’s Scheme Development Standards.
8.39 The RHS cannot prescribe the balance between supply of the different products in the years to
come, or even in different parts of the Region in the immediate future, since it is impossible to
anticipate precisely the range of needs to be addressed. The RHS requires local authorities to
work with housing associations, other housing providers and relevant bodies as
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