Bedford Borough Council will be able to buy land for less to help build social and affordable homes following government reforms announced this week.
It will be able to buy land for development through the use of Compulsory Purchase Orders without paying inflated “hope value” costs.
‘Hope value’ estimates what land could be worth if it was developed in the future.
This means a land buyer could potentially pay thousands more to buy land for housing or developments and get held up by disputes about costs.
If a Compulsory Purchase Order was used by the borough council, these new measures could remove hope value depending on the circumstances for that sale.
This could be because the development is in the public interest such as it is facilitating affordable or social housing, health or educational uses.
Speaking about the new measures on Tuesday (30 April) Levelling Up Minister Jacob Young said: “Our changes will act as a catalyst for investment in our towns and cities and drive much-needed regeneration in communities across the country.
“We know we need to build more homes and alongside our Long-Term Plan for Housing, these changes will help us do that, unlocking more sites for affordable and social housing, as well as supporting jobs and growing the economy.”
A Bedford Borough Council spokesperson said: “The new powers are welcome and are something that the council will consider as it looks at ways to increase affordable housing delivery.”
Sadly the powers have come too late to affect the price of land being purchased by Odell Parish Council who are buying land for an amount one councillor called a “rip off”.
Read: Grant awarded to Parish Council to buy land but councillor says owner is “ripping them off”
The land is being purchased thanks to a grant from Bedford Borough Council and other funding sources for an amount said to be double its value.
by John Guinn
Local Democracy Reporter
