Planning Obligations. Supplementary Planning Document to the Hounslow Local Development Framework

to the Hounslow Local Development Framework Directorate of Planning London Borough of Hounslow 1

TABLE OF CONTENTS Glossary Glossary...1 1. PLANNING OBLIGATIONS GENERAL PRINCIPLES... 7 1.1 Introduction...7 1.2 The role of the SPD...8 1.3 What types of obligations will be sought?...11 1.4 Process of Negotiating and Securing...11 1.5 Viability Issues...13 1.6 Development Plan Policy Context...13 1.7 Qualifying Developments...16 1.8 Standard Charges...20 1.9 Pooling of Funds...21 1.10 Maintenance...22 1.11 Costs...22 1.12 Confidentiality...22 1.13 Referrals, call-ins and appeals...23 1.14 Use and Monitoring of s106 Legal Agreements and Unilateral Undertakings.23 1.15 Local Land Charge...24 1.16 Index Linking...24 PLANNING OBLIGATIONS SPD - AFFORDABLE HOUSING... 25 2.1 Introduction...25 2.2 The Need for Affordable Housing...25 2.3 Development Plan...27 2.4 Definition of Affordable Housing...27 2.5 Social Rented Housing...29 2.6 Intermediate Housing...29 2.7 Key Worker Housing...30 2.8 Affordable Housing Requirements...30 2.9 Negotiating the Maximum Reasonable Proportion of Affordable Housing...32 2.10 The Nature of Affordable Housing Provision...33 2.11 Obtaining Subsidy...35 Securing Affordable Housing...36 2.12 Design Issues...36 2.13 Higher Density Developments...37 2.14 Procedures for Schemes that Include Affordable Housing...38 PLANNING OBLIGATIONS SPD - CONTRIBUTIONS TOWARDS SCHOOL PLACES... 40 3.1 Introduction...40 1

3.2 Qualifying Schemes...40 3.3 The Formula...40 3.4 Components of the Formula...41 PLANNING OBLIGATIONS SPD - COMMUNITY AND HEALTH FACILITIES... 43 4.1 Health Facilities...43 4.2 When Contributions Will be Sought...43 4.3 The HUDU Model...43 4.4 Other Community Facilities...44 PLANNING OBLIGATIONS SPD OPEN SPACE, PLAY SPACE AND RECREATION... 45 5.1 Introduction...45 5.2 The Hounslow Plan...45 5.3 Hounslow Sport and Active Recreation Strategy (2005)...45 5.4 Hounslow Play Strategy...45 5.5 When Contributions will be Sought...45 5.6 The Formula- Off-Site Open Space Provision or Enhancement...46 5.7 Private Residential Amenity Space provision...47 5.8 Qualifying Schemes...47 5.9 Formula:...47 5.10 EXAMPLES:...48 5.11 Sports and Recreation...49 5.12 Play Space...49 5.13 Play space formula...49 5.14 Potential Benefits:...50 5.15 Landscaping and Comprehensive Project Areas...51 PLANNING OBLIGATIONS SPD PUBLIC REALM... 52 6.1 Introduction...52 6.2 The Formula for Environmental Improvements Contributions...52 6.3 Safety and Security Measures...52 6.4 Qualifying Developments...53 6.5 The Formula for Safety and Security Contributions...53 6.6 Landscape Provision in new development...54 6.7 Public Art...54 6.8 Qualifying Developments...55 6.9 The Formula Public Art...55 6.10 Flood Risk...55 6.11 Qualifying Developments...55 6.12 Air Quality, Energy Efficiency and Renewable Energy...55 PLANNING OBLIGATIONS SPD EMPLOYMENT, TRAINING & CHILDCARE... 57 7.1 Introduction...57 7.2 Developments requiring planning contributions...57 7.3 Delivery...58 7.4 Childcare Facilities...58 2

7.5 Construction Training...58 7.6 Job Brokerage and Training...59 7.7 Construction Training...60 PLANNING OBLIGATIONS SPD TRANSPORT... 61 8.1 Introduction...61 8.2 Transport Contribution Formula...61 8.3 Travel Plans...64 3

Glossary Access This term refers to the methods by which people with a range of needs (such as disabled people, people with children, people whose first language is not English) find out about and use services and information. Accessibility This term is used in two distinct ways, its definition depending on the accompanying text (see Accessibility of the Transport System below). Affordable housing This is defined in the Affordable Housing Chapter Air Quality Management Area (AQMA) An area which a local authority had designated for action, based upon a prediction that Air Quality Objectives will be exceeded. Car club These are schemes such as city car clubs and car pools, which facilitate vehicle sharing. Department of Communities and Local Government (DCLG) The government department responsible for planning, local government, housing and regional development. Development plan document (DPD) Statutory planning documents, produced by the borough, that together form the Local Development Framework. Green belt Green belts are a national policy designation that helps to contain development, protect the countryside and promote brownfield development, and assists in the urban renaissance. There is a general presumption against inappropriate development in the green belt. Housing Corporation A statutory public body whose role is to fund and regulate Registered Social Landlords in England. Lifetime Homes Ordinary homes designed to provide accessible and convenient homes for a large segment of the population from young children to frail older people and those with temporary or permanent physical or sensory impairments. Lifetime Homes have 16 design features that ensure that the home will be flexible enough to meet the existing and changing needs of most households, as set out in the Joseph Rowntree Foundation report Meeting Part M and Designing Lifetime Homes. Local Development Framework Statutory plans produced by the borough that comprise a portfolio of development plan documents including a core strategy, proposals and a series of area action plans. Local Implementation Plan (LIP) Statutory transport plan produced by the borough bringing together transport proposals to implement the Transport Strategy at the local level. Local Strategic Partnership (LSP) Cross-sectoral, cross-agency umbrella partnerships, which are focused and committed to improving the quality of life and governance in a particular locality. They seek to enable services to be aligned in a way that effectively meets the needs and aspirations of those who use them. Low cost market housing defined with in Affordable Housing Chapter. Major development 4

The definition of Major Development is as defined in Art. 1 of the General Development Procedure Order 1995, which provides that Major Development is defined as development involving any one or more of the following: For dwellings: where 10 or more residential units are to be constructed (or if number not given, area is more than 0.5 hectares) the provision of a building or buildings where the floor space will be 1000 sq metres or more (or site is 1 hectare or more) Waste development The winning and working of minerals or the use of land for mineralworking deposits Development carried out on a site having an area of 1 hectare or more Metropolitan Open Land Strategic open land within the urban area that contributes to the structure of London. Nature conservation Protection, management and promotion for the benefit of wild species and habitats, as well as the human communities that use and enjoy them. This also covers the creation and re-creation of wildlife habitats and the techniques that protect genetic diversity and can be used to include geological conservation. Open space All land that is predominantly undeveloped other than by buildings or structures that are ancillary to the open space use. The definition covers a the broad range of types of open space, whether in public or private ownership and whether public access is unrestricted, limited or restricted. Public realm This is the space between and within buildings that are publicly accessible, including streets, squares, forecourts, parks and open spaces. Public Transport Accessibility Level (PTAL) The extent and ease of access by public transport, or, where it can reasonably be used as a proxy, as the degree of access to the public transport network. Renewable energy Energy derived from a source that is continually replenished, such as wind, wave, solar, hydroelectric and energy from plant material, but not fossil fuels or nuclear energy. Section 106 Agreements These agreements confer planning obligations on persons with an interest in land in order to achieve the implementation of relevant planning policies as authorised by Section 106 of the Town and Country Planning Act 1990. (SPD) An SPD forms a part of the Local Development Framework supplementing specific policies in the plan. It must be consistent with national and regional planning guidance, as well as the policies set out in the adopted plan. Public consultation should be undertaken and SPDs should be regularly reviewed. SPDs may be taken into account as a material consideration. Sustainable development This covers development that meets the needs of the present without compromising the ability of future generations to meet their own needs. Traffic calming These are self-enforcing measures that are designed to encourage drivers to make their speeds appropriate to local conditions. Traffic calming schemes can improve the environment and reduce accidents. 5

Transport Impact Assessment This is prepared and submitted alongside planning applications for developments likely to have significant transport implications. Transport for London (TfL) One of the GLA group organisations, accountable to the Mayor, with responsibility for delivering an integrated and sustainable transport strategy for London. Unitary Development Plan (UDP) Statutory plan produced by the borough which integrate strategic and local planning responsibilities through policies and proposals for the development and use of land in the area. Vicinity: in this document means nearby and within surrounding area so as to ensure a geographical relationship between the contribution and the development. Wheelchair accessible housing This refers to homes built to meet the standards set out in the second edition of the Wheelchair Housing Design Guide by Stephen Thorpe, Habinteg Housing Association 2006. 6

1. General Principles 1.1 Introduction This SPD has been prepared to outline and clarify the London Borough of Hounslow s approach, policies and procedures in respect of planning obligations. These are taken forward through legal agreements made under section 106 of the Town and Country Planning Act 1990 (as amended). Such legal agreements are often called and can be negotiated between local authorities and persons with an interest in a piece of land (or developers) in the context of granting planning consent, in which case they are typically known as Section 106 Agreements. Alternatively a developer may submit a unilateral Planning Obligation known as a Unilateral Undertaking. There is no requirement for to be tied to a particular planning permission, as it is possible for them to be entered into by the owners of land for the purpose of regulating any or all development of the land or to provide for the payment of financial contributions. Planning obligations provide a means to ensure that a proposal for development contributes towards the creation of sustainable communities and may, in appropriate cases, be used to make development proposals acceptable where they might otherwise be unacceptable. are local land charges and run with the land and so may be enforced against the original covenantor and, in most cases, against anyone acquiring an interest from him or her. Obligations can be used to implement the Borough s planning policy through prescribing the nature of a development (e.g. by requiring a proportion of affordable housing); or to secure a contribution from a developer to compensate for loss or damage created by a development (e.g. the loss of open space), or to mitigate a development s impact on the locality (e.g. towards the provision of necessary infrastructure and facilities such as through increased public transport provision). The outcome of the use of planning obligations should be that the proposed development concerned is made to comply as far as practicable with the Development Plan which comprises published local, regional and national planning policies. Used properly, planning obligations can significantly increase the quality of development. They can secure benefits capable of mitigating against the adverse impacts of a development. However, they cannot be used to make a bad application good where, for example, a scheme does not comply with the development plan. 7

Planning obligations are set out in legal agreements made under Section 106 of the Town and Country Planning Act 1990 whereby developers agree to (a) restrict the development or use of land, (b) carry out operations in, on, under or over the land, (c) use the land in a specified way, (d) pay a sum or sums of money towards measures necessary to make a scheme acceptable in planning terms. The role of planning in this regard is set out in PPS1 Planning authorities should seek to enhance the environment as part of development proposals. Significant adverse impacts should be avoided and alternative options, which might reduce or eliminate those impacts pursued. Where adverse impacts are unavoidable, planning authorities and developers should consider possible mitigation measures. Where adequate mitigation measures are not possible, compensatory measures may be appropriate. In line with the UK sustainable development strategy, environmental costs should fall on those who impose them - the polluter pays principle. (Para 19.) 1.2 The role of the SPD This is the planning obligations SPD for LB Hounslow. It sets out in principle what kinds of planning applications will require planning obligations and in broad terms how monies will be spent on projects related to the proposed development. Alongside this general SPD there are guidance notes on how planning obligations and financial contributions will be calculated in specific areas. These are: Affordable Housing; Education Contributions; Employment, Training & Childcare Community Facilities including provision for young people and Health Facilities. Open Space and Play Provision Public Realm, Environmental Improvements & Safety Transport The above areas are not exhaustive. LB Hounslow may wish to negotiate other forms of obligations depending on the individual circumstances of a site and proposal, where obligations are necessary and meet the tests set out in Circular 05/2005 and DCLG guidance set out in Planning Obligations: Practice Guidance (DCLG, July 2006) Planning obligations will be sought to support the implementation of the primary aims and strategic objectives and policies of the Development Plan and where 8

appropriate to further the strategic aims of the Community Plan and Hounslow Plan. In conformity with the Circular, the Council will secure planning obligations in respect of measures which are essential for the development to proceed and measures which are required to mitigate the impact of the development. Development specific works, such as highways works, safety and security measures, and infrastructural requirements, are an integral part of a development scheme and are normally required to be implemented as part of the development scheme. Where necessary, a Planning Obligation will be used to ensure that these development specific works are undertaken satisfactorily. In addition, it will often be necessary for a development to contribute towards the necessary infrastructure and facilities required in order to contribute to achieving the strategic objectives of the Council. Priorities The range of obligations is set out under separate topic headings in subsequent sections within this document with priority given to types of planning obligations taking into account the individual characteristics of the site and the impact of the development. In determining these priorities, the Council will have regard to Circular 05/2005 and the following: Measures which are essential for the development to proceed; Measures which are needed to mitigate any impact of the development; Measures which are beneficial to the development of the area, in accordance with the Community Plan and Local Area priorities. Certain strategic schemes toward which contributions may be pooled are referred to in the document. The schemes primarily provide or improve facilities to cater for increased usage and needs arising from residents or users of new developments in order to achieve the overall aims and objectives of the Council as set out in the Development Plan and Community Plan. Additionally, smaller schemes may be appropriately funded in full or in part by a particular development. Status of SPD This SPD was adopted by the Council on March 11 th 2008 and has the status of a (SPD) for the Council. An SPD is a material planning consideration to be used in the determination of planning applications. This SPD will form the basis of discussions on planning 9

applications with, where appropriate, the aim of creating suitable planning obligations. This SPD will be subject to regular review and will be developed alongside the Local Development Framework for the Borough with updates to this SPD published, and progress monitored through the Annual Monitoring Report (AMR). The SPD aims to meet the three central government objectives for planning obligations of transparency, certainty and speed. Circular 05/2005, states that have a positive role to play in the planning system and used properly can remedy genuine planning problems and enhance the quality of development. They provide a means of reconciling the aims and interests of developers with the need to safeguard the local environment or to meet the costs imposed as a result of development, for example the full cost of essential community facilities required as a direct result of a proposed new development. Examples given in the Circular include new access roads, improved public transport accessibility and community facilities such as open space, social, educational or sporting facilities, provided they are related in scale and kind to the development proposed. The guidance suggests that to retain public confidence in the planning system, negotiations on planning obligations should be conducted in a way that is seen to be fair, open and reasonable. Circular 05/2005 enables more systematic approaches and pooling of contributions. The Planning Bill allows for regulations to empower local councils to apply a Community Infrastructure Levy on new developments in their areas to support infrastructure. This SPD has been prepared with future changes in mind. The Department of Communities and Local Government published a document setting out further details on the Community Infrastructure Levy (CIL) in January 2008. The document sets out the background to the CIL and more detail on the provisions in the Planning Bill presented to parliament on 27 November 2007. It explains how the Government envisages the CIL will operate, and transitional arrangements until CIL is introduced. The approach within the Planning Obligations SPD will assist with future work on the CIL, if implemented, and if the authority becomes a charging authority when the necessary arrangements are in place. This SPD does not only cover financial contributions but also benefits in kind negotiated as part of planning applications. In many cases provision in kind is preferable and suitable, especially where this reduces management costs and/or where finding land for a facility is an issue. Where provision in kind is made, contributions will be secured for reasonable fitting out and infrastructure costs 10

and to ensure that providers of community services necessitated by the development have facilities suitable for their needs and provided at nominal rents and service charges. 1.3 What types of obligations will be sought? The obligations set out in this document are not exhaustive, and the local planning authority may wish to negotiate other obligations where they are relevant and necessary to a particular development. It must be emphasised that planning obligations cannot be used to make a bad application good. If an application is unacceptable in planning terms and cannot be made acceptable by the provision of planning obligations or the imposition of conditions, the offer of planning obligations will not mean that planning permission will be granted. Paragraphs B.12 to B.16 of Circular 05/2005 outline three main ways in which planning obligations may be used to ensure that proposed developments are acceptable in planning terms and made to accord with published local, regional or national planning policies: To prescribe the nature of a development; To secure a contribution from a developer to compensate for the loss or damage created by the development; To mitigate a development s impact on the locality; 1.4 Process of Negotiating and Securing This document seeks to ensure that the negotiation process is conducted with fairness and consistency and it is intended that the document be used as a clear starting point in the negotiation process. Clarifying the use of planning obligations provides an indication of what the Council may expect from developers and therefore a better framework for discussion. Legislation sets the timeframes for the determination of planning applications. In order to comply with the legislative provisions, the local planning authority will endeavour to complete the whole application process within the required 8 or 13- week timeframe set by the Government (13 weeks for major applications and 8 weeks for non-major applications). In relation to planning applications that require the submission of an Environmental Impact Assessment, the local planning authority will endeavour to determine the application within 16 weeks from the date of receipt of the environmental statement and accompanying documents. Circular 05/05 emphasises the importance of ensuring that the negotiation of planning obligations does not unnecessarily delay the planning process, thereby holding up development. In cases where a Planning Obligation is required, 11

planning permission will not be granted until the legal agreement has been completed (or, in relation to a unilateral undertaking, executed and delivered). The applicant will be informed of the target date for determination of the application in the acknowledgement letter issued upon registration of the application. It is therefore essential that developers enter into discussions regarding planning obligation requirements with Council officers as soon as possible, during the preapplication stage. The nature of planning obligations that are likely to be required for a particular development will be made known to the developer as early as possible in the planning process. These early discussions help to ensure that formal applications can be dealt with in a more certain and speedy manner and allow for the legal agreement or unilateral undertaking to be executed and completed as soon as practicable following agreement as to the heads of terms for the requisite planning obligations. In appropriate cases where section 106 requirements are known, developers are invited to submit draft or executed unilateral planning obligations as part of their planning application. Where a unilateral obligation is not appropriate, developers are encouraged to submit a draft s106 agreement with their planning application, using the standard legal agreements that have been prepared by the Law Society. Copies of the Council s preferred forms of standard legal agreements are available from the Council s Planning department. Unilateral planning obligations should contain terms that reflect those to be found in the standard legal agreements. The Council will consider and advise upon the terms of submitted Unilateral Undertakings in order to ensure that they are in a satisfactory form, effective for their purposes and enforceable. It should be noted that the standard form of legal agreements may be amended by the Council as necessary to reflect particular circumstances and best practice. The Council seeks to recover its legal and professional costs incurred in the preparation of legal agreements and unilateral undertakings and the applicant (or developer or other appropriate person) will be required to pay those costs upon demand (these costs are usually payable upon execution or completion of the legal agreement or unilateral undertaking). Planning permission may be refused in circumstances where the required legal agreement or unilateral undertaking is not completed or executed within the appropriate timescale (i.e. the 8-week, 13-week and 16-week periods referred to above). 12

1.5 Viability Issues The Council recognises that in specific instances planning obligations may be a significant factor that affects development viability. However, planning obligations are a necessary cost of development and it will be expected that the likely cost of obligations will be factored into the development cost from an early stage. One aim of this document is to facilitate and encourage transparency in the negotiation of planning obligations to ensure that developers can gain access to information as early as possible in the development process. It is recognised that there may be circumstances where a developer may consider that it is not feasible for the proposed development to meet all the requirements set out in local, regional and national planning policies and still be economically viable (for example, where development specific costs are exceptionally high). The onus will be on the developer to provide information regarding the viability of the scheme. In these circumstances, the Council will review the range and nature of obligations. In order to determine such applications in accordance with circular 05/05, the Council may require valuation advice and/or the use of an independent third party. In cases where a dispute relates to the viability of a proposal, it may be necessary for the independent third party to have access to financial information provided by the developer on a strictly confidential, and open book, basis. The Circular stresses that the role of the independent third party is to facilitate or contribute to the negotiation process, not to arbitrate, and that responsibility for the final determination of the application remains with the local planning authority. The Council will require its reasonable costs associated with the use of an independent third party or any other necessary valuation advice to be met by the developer. 1.6 Development Plan Policy Context Unitary Development Plan Hounslow s overall policy in relation to S.106 is set out in the Unitary Development Plan 2003 (as saved September 2007) as Policy IMP.6.1 Planning Obligations. The policy states that : the Council will seek to ensure that a developer enters into a planning obligation to secure planning benefits related to the proposed development. The planning benefits of a development will only influence the determination of a planning application where they have 13

a bearing on the planning merits of the application itself and fairly and reasonably relate to the proposed development in scale and kind. It goes on to give a range of examples, as it is not possible to specify the nature of the planning obligation in every appropriate case. The following are stated for guidance purposes and should not be considered as exhaustive: improvement or provision of pedestrian and / or cycle access and associated facilities related to the safe and convenient movement of all pedestrians, people with impaired mobility and cyclists; general improvement of, or contribution to, the public transport system, including community transport to provide for journeys related to or generated by the proposed development. (Any such improvement will be carried out in consultation with the public transport agencies); provision of buildings, open space, pedestrian or cycle access (e.g. riverside walkways and cycle routes) and other facilities related to the development itself and to the associated movement of people on foot or by bike; the provision of buildings and/ or facilities to satisfy the need for additional educational resources which the development may generate; conservation and enhancement of buildings or places of historic or architectural interest and areas of nature conservation significance; provision of affordable housing or supported residential accommodation to meet local needs; the provision of buildings and open space, social and community facilities (including, open space, arts, cultural and entertainment facilities) for which there is a local need; the provision of childcare and playspace facilities; the improvement of poorer quality employment buildings and the provision of small industrial (starter) units; the creation of employment and/or training provisions for those people that have either been displaced by a development project or those who could benefit from the provision of job opportunities locally, thus promoting area regeneration and sustainable patterns of development; contributions towards the full cost of providing for provision for any transport access and infrastructure implications of the development, including the need for controlled parking, traffic management schemes and highway access and the production of company travel plans; any other planning benefit for which there is a local need, for example environmental improvements to shopping centres, housing and industrial estates, the production of environmental 14

management schemes for new industrial, commercial and retail development, public art and closed circuit TV (CCTV) These principles of Policy IMP.6.1 are repeated in central government guidance (Circular 05/2005). Additionally, Policy IMP.6.1 is supported by specific statements elsewhere in the UDP. ENV-N.1.10 - seeks improvements in open space provision in areas of local deficiency; ENV-W.1.10 - seeks improvements to access to the Thames riverside; H.4.5 - seeks new community, health educational and other facilities from new housing developments; C.2.1 - seeks education facilities from residential developments; S.4.6 - seeks customer facilities such as baby changing facilities and crèches from major shopping developments; T.1.4 - seeks measures to address the traffic impact of new developments; T.2.4 - seeks public transport improvements. The London Plan The London Plan policies relating to are Policy 6A.4 and Policy 6A.5. Policy 6A.4, on priorities in planning obligations states The Mayor will and boroughs should reflect the policies of this plan and include strategic as well as local needs in their policies for, and negotiation of, planning obligations. The policy goes on to state Affordable housing and public transport improvements should generally be given the highest importance with priority also given to learning and skills and health facilities and services and childcare provisions. The Mayor, when considering planning applications of potential strategic importance will take into account, among other issues, the content and existence of planning contributions. Policy 6A.5 of the London Plan also requires Boroughs to set out a framework for negotiating. 15

1.7 Qualifying Developments The exact type and range of planning obligations, which may be sought for an individual site, will depend upon the particular circumstances and development proposed, and its impact upon the local environment, local services and facilities. Whether or not planning obligations will be sought will be linked to the scale and type of development. The thresholds for types of planning obligations are listed in the table below. Development is taken to include new development, redevelopment, and changes of use. Thresholds for qualifying developments are based on the total gross development, rather than on the net additional development. The assessment of required planning obligations and the calculation of contributions will take account of the net impact of the development in order to secure the necessary planning obligations relating to that development. Where, in the following sections of this document, the term major development is used to describe a threshold, this refers to the definition of major development in the Town and Country Planning (General Development Procedure) Order 1995 which is as follows: The winning and working of minerals or the use of land for mineral-working deposits; Waste development; The provision of 10 or more dwellinghouses or where the development is to be carried out on a site having an area of 0.5 hectare or more and it is not known whether the development will have more than 10 dwellinghouses; The provision of a building or buildings where the floor space to be created by the development is 1,000 square metres or more; or Development carried out on a site having an area of 1 hectare or more. 16

Use Planning Need Threshold Type of Contribution Residential Affordable Housing The threshold contained within the Further Alterations to the London Plan shall be applied to applications: 10 or more units A specififed type, number, mix and tenure of residential units or, in exceptional circumstances, payment in lieu (for details see Affordable Housing Chapter) Education 10 or more units Financial contribution (or where appropriate, provision of educational facilities). Health facilities 10 or more units Provision within development, or in kind, or financial contribution. Amenity Space 10 or more units (This will normally be required as provision within development). Provision within development, or in kind, or financial contribution. Play space 10 or more units Provision within development, or in kind, or financial contribution. Other Sport and Recreation Public Realm: Environmental Improvements 10 or more units Provision within development, or in kind, or financial contribution. 10 or more units Provision within development, or in kind, or financial contribution. 17

Employment & Training 10 or more units Provision within development, or in kind, or financial contribution. Transport 10 or more units Provision within development, or in kind, or financial contribution. Other necessary obligations will be secured depending on the proposal. Other as required - Provision within development, or in kind, or financial contribution. Office B1 Employment and Training Above 1000 sq m gross floorspace or based on likely number employed Training measures related to the development, or financial contribution. Public Realm: Environmental improvements Transport Childcare provision All developments resulting in an increase of 1000 sq m. gross external floor area or number of those employed. Above 1,000sq m GFA Above 1,000 sq m gross new or improved floorspace Provision within development, or in kind, or financial contribution. Provision within development, or in kind, or financial contribution. Provision within development, or in kind, or financial contribution including off-site provision. Other as required - Provision within development, or in kind, or financial contribution. 18

Industrial, B2, B8 Employment and training Public Realm: Environmental improvements, CCTV Transport Other as required Childcare provision Above 1,000 sq m gross or based on likely number employed All developments resulting in an increase of 1000 sq m. 1000 sq m and above GFA B2 1,000 sq m GFA B8 1,000 sq m GFA Provision within development, or in kind, or financial contribution. Provision within development, or in kind, or financial contribution. Provision within development, or in kind, or financial contribution. Provision within development, or in kind, or financial contribution including off-site provision. Retail Public realm: Environmental improvements All developments resulting in an increase of 1000 sq. m gross external floor area or number of those employed. Provision within development, or in kind, or financial contribution. Transport 1000 sq m GFA Provision within development, or in kind, or financial contribution. Other as required As required Provision within development, or in kind, or financial contribution. Where development sites are subdivided or developed in phases and this has the effect that separate development proposals (within a larger development site) fall below thresholds for which planning obligations may be sought the Council will (as far as is practical and reasonable) consider sites in their totality when assessing the appropriate necessary planning obligations. In some cases, where outline permission is applied for, it will not be clear whether the thresholds will be exceeded. In these cases obligations may be 19

negotiated on the presumption that the site exceeds the relevant threshold. Legal agreements (or unilateral undertakings) should be worded to allow for increases in some or all of the required obligations subject to the detail of the application when considered at the reserved matters stage, or for an alternative approach in the event that at the reserved matters stage it becomes apparent the threshold will not be met. 1.8 Standard Charges The government, through Circular 05/05, encourages the use of standard charges and formulae to calculate financial contributions, where appropriate and where used consistently. The use of standard charges can give greater certainty to developers and increase the speed of negotiations. There will continue to be a presumption in favour of the on-site provision of benefits sought by planning obligations and the Council will normally expect the developer to carry out the works. However, where it is not possible or practical to provide these benefits on-site, or where a development is required to contribute towards strategic infrastructure or facilities, a financial contribution will be sought towards the provision of these benefits offsite. The Council will adopt a consistent approach to the application of standard charges in order to ensure fairness, predictability and transparency. In all cases, Hounslow Council as the local planning authority reserves the right to enter into negotiations specific to part or all of a proposed development should this be appropriate. Negotiated planning obligations will normally be required for large and complex developments. In such cases, the standard charges may act as a starting point for negotiations. In cases where individual developments will have some impact but not sufficient to justify the need for a discrete piece of infrastructure, contributions may be sought from developers towards future provision where the combined impact of a number of developments does, may or will create a need for infrastructure. In such cases Circular 05/05 advises that spare capacity in existing infrastructure provision should not be credited to earlier developers. The Council will adopt this approach, in order to ensure that the negotiation of planning obligations is consistent and fair to all developers, and will continue to take into account any relevant circumstances in each case to ensure that any negotiations for planning obligations comply with Circular 05/05. For developments staying within the same Use Class the floorspace or units which already exist on the site may be subtracted from the obligation calculation so that the net additional impact is assessed, subject to the actual level of need that arises from the development proposal. For changes of use, separate calculations may need to be made for the proposed use, and the existing use, and the actual obligation sought will be assessed with reference to the difference 20

between the two (except that a negative contribution will not be allowable). There will be cases, such as where a site involves comprehensive redevelopment, or where a site is vacant or derelict, where the total gross size of the development will be relevant for determining the amount of contribution or the nature of the planning obligation required and no credit will be allowable, subject to considerations regarding viability. Each case will be considered on its merits to ensure that any obligation sought is sufficient to ensure that the proposed development is acceptable in policy terms and that the policy tests of Circular 05/05 are met. Please note that for formulae that are based on gross floor area (GFA), the relevant formulae will be applied on a pro-rata basis for GFA above the thresholds. 1.9 Pooling of Funds As set out in Circular 05/05, where the combined impact of a number of developments creates the need for infrastructure or facilities, associated developers contributions can be pooled, in order to allow the required infrastructure to be secured in a fair and equitable way. In some cases, individual developments will have some impact but not sufficient to justify the need for a discrete piece of infrastructure, and local planning authorities may wish to consider whether it is appropriate to seek contributions to specific future provision. The Circular makes it clear that, in these cases, any spare capacity in existing infrastructure should not be credited to developers. Similarly, where an item of infrastructure necessitated by the cumulative impact of a series of developments is provided by a local authority or other body before all the developments have come forward, the later developers may still be required to contribute the relevant proportion of the costs. In cases where a financial contribution is sought towards offsite provision, funds may be pooled to contribute towards the strategic aims of the Development Plan and the Community Plan, that would lessen the impact (or enhance the benefits) of new developments in the area and help integrate the developments into the local community. Some schemes are Borough-wide whilst others are local. In accordance with Circular 05/05, in the event that contributions are made towards specific infrastructure provision but the infrastructure is not provided within an agreed timeframe, the local planning authority will consider entering into an agreement in order to modify or discharge the specific planning obligation and where this has been done and in appropriate cases, arrangements will be made for contributions to be returned to developers. 21

1.10 Maintenance Circular 05/05 provides scope for seeking revenue or maintenance payments. The Circular advises that where contributions are secured through planning obligations towards the provision of facilities that are predominantly for the benefit of the users of the associated development, it may be appropriate for the developer to make provision for their subsequent maintenance. As a general rule, where an asset is intended for wider public use, the costs of subsequent maintenance and other recurrent expenditure associated with the developer s contributions should normally be borne by the body or authority in which the asset is to be vested. Initial support (pump priming) of new facilities can be sought where necessary, however payments should be time-limited and not be required in perpetuity by planning obligations. The Council will seek maintenance payments where necessary and appropriate for pump priming, and for facilities which are primarily intended for the use of residents of a development or for local use, in line with the latest government guidance. Maintenance payments will not be sought for facilities which are intended to serve the wider public. 1.11 Costs The Council will expect its reasonable legal and professional costs and disbursements incurred in negotiating and drawing up legal agreements or unilateral undertakings to be met by the developer (or other appropriate person). In addition, the Council will require that the developer (or other appropriate person) meet its reasonable costs in administering and monitoring the obligations contained in the legal agreement or unilateral undertaking. The Council will use its best endeavours to specify these costs at the earliest possible opportunity in the application process. Where valuation advice is required in order to assess the application, or in cases where a developer has raised concerns about viability of a development, the Council will expect all reasonable costs of valuation advice to be met by the developer. In these cases, where other professional advice is required, for example environmental, traffic, or ecological advice, the Council may seek its reasonable costs in seeking such advice to be met by the developer. 1.12 Confidentiality In compliance with the guidance contained in paragraph B42 of Circular 05/05, the Council will comply with its statutory duty to record in Part 1 of the planning register details of proposed planning obligations and those planning obligations that have been entered into. Requests for the release of s106 agreements whilst in the negotiation stage will be referred to the Council s legal department for advice. Once signed, the legal 22

agreement will be registered against the title of the property and on the Local Land Charges Register, and is available on the statutory planning register, and is therefore in the public domain. 1.13 Referrals, call-ins and appeals The Mayor of London must be consulted on planning applications that are considered of potential strategic importance. He can comment on and support these applications or, if he considers it necessary on strategic planning grounds, he can direct the borough to refuse planning permission if he is not satisfied that the proposed conditions and obligations will, in his opinion, make the development acceptable in planning terms. The applicant has the right then to appeal to the Secretary of State and at that stage the Mayor may state what obligations should be included in a legal agreement/unilateral undertaking. Further changes to the Mayor s powers will be taken account of through applying the provisions of this SPD. Planning applications may be appealed, or the Secretary of State may call-in an application for his determination. In such cases, the Council will be unable to negotiate a planning obligation, as the Secretary of State/Planning Inspectorate will decide this. However, the developer can submit a unilateral undertaking and the Council will, in cases where the development would be acceptable if planning obligations were secured, seek to negotiate with the developer and would set out the nature of the planning obligations which would be sought. 1.14 Use and Monitoring of s106 Legal Agreements and Unilateral Undertakings It is important that developers entering into planning obligations know where, when and how their money will be spent. Planning obligations may be tied to specific schemes where they are necessary to overcome a planning objection to a development. In cases where planning obligations are sought from a number of smaller developments and pooled towards the provision of a scheme, wherever possible, developers will be informed of the projects that their contributions will be likely to help fund. Potential benefits towards which funds may be used are listed in the relevant sections of this document. Contributions and interest accrued will be allocated to the implementation of projects in the vicinity of the site in a way that accords with the guidance in Circular 05/2005. The appropriate Committee must agree expenditure of developer contributions for the development and implementation of major strategic projects for affordable 23

housing, education, employment generation and transport. Expenditure of developer contributions for local projects is considered as part of an annual rolling programme of section 106 projects to be determined by the Area Committees. In this way both Elected Councillors and the public are able to see that the expenditure is appropriate, properly justified and that it meets the requisite legal tests. A section 106 database is maintained, and incorporates a range of information in relation to planning obligations and unilateral undertakings including details of development site, relevant dates for receipt of funds, the purpose of the obligation and level of funding and whether there is financial approval for the expenditure of funds. Developers or interested parties are welcome to contact the Council to enquire as to the use and status of planning obligations. 1.15 Local Land Charge Planning obligations are registerable as a Local Land Charge and as such would come to the notice of a prospective buyer of the land. The Council will require that they will also be registered against the title to the land. 1.16 Index Linking Contributions sought from developers will be index linked in the legal agreement, in order to maintain the value of the contribution. The Retail Price Index (RPI) is the most commonly used index of inflation. It is freely available without subscription. The Building Cost Information Service (BCIS) published by the Royal Institution of Chartered Surveyors (RICS), and the Building Price and Cost Indices published by the Department of Trade and Industry (DTI) are alternative indices. The Council will use the most appropriate of this set of indices. The Council will also review all or parts of this document from time to time in order to update the value of the contributions sought. 24

SPD - Affordable Housing 2.1 Introduction Ensuring the delivery of affordable housing is long established as an integral part of Government policy. However, in recent years the manner of delivery has changed significantly. A significant amount of affordable housing is now delivered through Registered Social Landlords (RSLs) and through the application of planning policies requiring the negotiation of a proportion of affordable housing as part of housing developments. The provision of affordable housing contributes towards sustainable local communities. People on different income levels all need a choice of where they can live, close to family and community networks and accessible to workplaces. Provision prevents areas of social exclusion, for example where people can only afford to live in areas of poor access to transport, social, health and educational facilities. Affordable housing supply also allows workers with a range of skills and income levels to live reasonably close to their workplace and is also important for the economy. Similarly, in reducing travel distances to workplaces, road congestion and associated environmental problems can be reduced. This section of the SPD explains Hounslow Council s approach to the delivery of affordable housing. It is supplementary to, and expands upon the Development Plan policies for affordable housing in Hounslow,. It explains in detail how the policies will be applied and provides additional information on what will be expected when dealing with planning applications for development for which an element of affordable housing should be provided. This section provides information for various stakeholders involved in providing affordable housing including developers, RSLs, landowners and interested parties and individuals, so as to ensure the effective application of the Development Plan s affordable housing policies. 2.2 The Need for Affordable Housing There is a well-established justification for ensuring an adequate supply of affordable housing. As with all London boroughs and other Councils in the South East, Hounslow Council continues to experience a significant gap between affordable housing supply and demand. A Housing Needs survey was carried out in 2001.. The survey confirms the high levels of affordable housing need in Hounslow, and further monitoring also bears this out. 25

The lack of affordable housing in Hounslow is clearly demonstrated by the numbers of households on the Council s Housing Register and by the number of homeless households. Nearly 1,000 households a year are accepted as homeless in Hounslow. It is estimated that 84% of households in the Borough could not afford to buy their own home at prices in January 2006. This is linked to average house prices in the Borough, which increased by 10.7% from the period Oct - Dec 2005 to Oct Dec 2006. The Hounslow Housing Needs Survey 2001 assessed housing need with reference to Borough property prices in the 2000/2001 period. The results of the survey identified that 100% of households identified as in need of affordable housing cannot afford rental or mortgage payments in excess of 112 per week for 1-bedroom accommodation. The results of the survey also identified that 100% of households in housing need cannot afford rental or mortgage payments in excess of 137 per week for 2-bedroom accommodation or 162 per week for 3-bedroom accommodation. The West London sub-region also continues to experience higher housing need than any other London sub-region due to a combination of high land/property values and a growing population. The need for additional housing throughout London is well documented in the London Plan. This estimates that at least 10,000 new affordable homes are required in West London for the period up to 2016. There is also a very high demand for larger family units. Additionally, House prices have risen considerably throughout recent years. The increase in house prices in Hounslow is broadly similar to the increase for London over the same period. It is above the national average. The average price of a home in Hounslow is still below the London average. However, the rate of growth means that the people we need for the economic wellbeing of the Borough are not able to afford to buy homes in the Borough. Table 1: Average House Price (all dwellings) Hounslow Greater London England and Wales Oct Dec 2005 257 823 289, 248 191, 327 Oct Dec 2006 288, 768 321, 971 207, 573 Percentage Change + 10.2% + 7.8% + 10.7% (Source: Land Registry Residential Property Price Report Oct Dec 2005 and 2006) 26

Incomes have failed to match this trend in house price rises. Between 2002 and 2005 average incomes in Hounslow rose 13% while over the same period average house prices rose by 37%. This is an indication of how housing is becoming increasingly unaffordable. As part of the Core Strategy of the emerging LDF, Hounslow Council will undertake a new Housing Needs Survey in line with latest government guidance to further inform the nature of housing need in the Borough. 2.3 Development Plan The policy context for affordable housing continues to be updated with new research and policy direction from the different levels of government. The publication of the Planning Policy Statement 3 (PPS3) Housing and the accompanying Delivering Affordable Housing (November 2006) and The Further Alterations to the London Plan (February 2008), as well as Housing The London Plan Supplementary Planning Guidance provide the indication of the Government s and Mayor s policy This SPD provides the opportunity to amplify on these policies while taking account of up-to-date national and regional government policy such as the Further Alterations to the London Plan (February 2008). The Housing Needs evidence shows that there is a need for large family housing for rent. The Council will calculate the proportion of affordable housing provided either in units, habitable rooms or floorspace, so as not to discourage the development of larger units suitable for family accommodation. For monitoring purposes both units and habitable rooms will be measured to assess the delivery of affordable housing in the Borough. Any attempt to circumvent the threshold set in the development plan, for which the maximum reasonable proportion affordable housing shall be negotiated, is likely to lead to refusal of the application. 2.4 Definition of Affordable Housing One of the purposes of this SPD is to clarify the definition of what constitutes affordable housing in the Borough. This SPD provides the following definition of affordable housing: Affordable housing is housing that is accessible to those people whose incomes are insufficient to enable them to afford adequate housing locally on the open market. It includes social rented housing and intermediate housing; 27

Social Rented is affordable housing where the cost to the occupier is equivalent to the cost of Registered Social Landlord accommodation, of similar size and quality, within the borough. Rents are no greater than target rents as set by Government for local authority, RSLs and co-operative tenants; Intermediate Housing is affordable housing where the cost to the occupier, in terms of weekly outgoings, is significantly below the maximum affordability levels contained in this SPD. Intermediate housing can be provided for sale or for rent. Key worker housing is also considered to be intermediate housing as long as it complies with the Council s affordability criteria. Intermediate housing can also include Low Cost Market Housing, but only where it can be shown that it meets the identified priority needs, fulfils the affordability criteria and can be held in perpetuity (this requirement ensures that it remains affordable but applies subject to any statutory requirements or other material considerations that the Council may in its sole discretion determine may apply). Close attention needs to be paid to the costs involved before any form of market housing could be defined as affordable. Proposals made over recent years to provide Low Cost Market Housing, typically by discounting the market price, have not met policy requirements as set out in the definitions above. They have not been affordable to people on incomes in the range 17,000 52,500 and they have not been made available in perpetuity. Recently published advice from the Government contained in New Planning Policy Statement 3 - PPS3 supports this assessment that, due to the acuteness of the housing affordability problem in Hounslow, low cost market housing is unlikely to address any housing needs in the Borough. It is therefore considered that, in practical terms, affordable housing in Hounslow is housing that can be rented or bought by the occupier at a price substantially below the market rate. This will mean that a level of subsidy will be required to enable the housing to be acquired at a submarket rate. This can be in the form of public subsidy such as Social Housing Grant secured from the Housing Corporation, a financial contribution from a developer, or other subsidies such as the provision of land at a discounted rate. Affordable housing needs to be accessed in accordance with the priorities determined by the Council. For this reason the Council will nominate the occupiers of affordable housing from either the Council s housing register through the Locata system or the Council s Low Cost Home Ownership Register. The occupation of affordable housing by those in need and the affordability of the property will be secured in perpetuity through legal agreement or unilateral undertaking, subject to any statutory requirements or material considerations that the Council may in its sole discretion determine may apply. 28

2.5 Social Rented Housing In accordance with the Mayor s definition, Hounslow Council defines Social Housing as: Housing that is affordable in that rents are no greater than target rents as set by Government (DCLG) for local authority and RSLs and cooperative tenants. Service charges should not be so great as to make a tenancy unaffordable for a household with an income of less than 17,000 on the basis of rents and service charges not exceeding 30% of net household income. Social Rented Housing needs to be available for rent on a long-term basis. The Council seeks to ensure Social Housing is let and managed by an RSL. Any other arrangements will need to satisfy the Council that equivalent management and standards will be secured. 2.6 Intermediate Housing Intermediate housing is housing where the costs are greater than target rents (see Social Rented Housing, above) but affordable to households that have incomes in the range 17,000 and 52,500 per annum (at the time of production of this SPD). Shared ownership also known as New Build HomeBuy Shared Ownership housing is a form of intermediate housing. This is a low cost home ownership scheme where an applicant acquires a property from an RSL on a part rent -part buy basis. The applicant raises a mortgage in the normal way to buy a share of the property and pays subsidised rent capped to no more than 3% - to an RSL on the remaining share. The applicant can increase their share in the property as their finances improve if they wish, until they own the property outright. Shared ownership will need to be affordable to households with annual incomes of 17,000 52,500 (at the time up SPD production). The homes will be offered to applicants on the basis of housing need in accordance with the priorities determined by the Council within key worker housing policy available from the Housing Enabling Team.. Intermediate Rent Intermediate rent is a form of intermediate housing that allows households to rent properties above target rent levels but below market rent levels. As with shared ownership the rents must be affordable to those with annual household incomes of 17,000 to 52,500 (at the time of production of the SPD). This income range puts the cost above social housing but below market housing. Intermediate Rent is made available on Assured Shorthold Tenancies, but can be long-term provision. 29

To be affordable intermediate rent should be set at no more than 80% of the market rent for the type of units in the area where the scheme is located. This will be considered on a case-by-case basis as proposals arise. For advice on intermediate rents in new developments, contact the Hounslow Council Housing Enabling Team. In instances where provision is through any other organization than an RSL arrangements will need to satisfy the Council that equivalent management and standards will be secured. 2.7 Key Worker Housing The high cost of housing is a contributing factor to recruitment problems for workers on low-to-moderate incomes in London. The Government s Key Worker programme seeks to help address these problems. A number of units secured as Intermediate housing in Hounslow are available to key workers under this scheme. Funding for the Key Worker scheme is allocated by the Housing Corporation on a sub-regional basis. The units are offered to key workers as defined by the Government. Hounslow Council accepts a wider range as being eligible for key worker housing, reflecting documented recruitment and retention problems in the Borough. As well as those units that are allocated under the Government s Key Worker scheme, some of the other intermediate housing may be set aside by the Council for key workers that qualify according to Hounslow s criteria. Hounslow s Housing Enabling Team can be contacted for further information on the local definition of a key worker: Any person living or working in Hounslow on a moderate income. 2.8 Affordable Housing Requirements Mix Between Social and Intermediate Housing The Council seeks a 70:30 ratio between Social Rented Housing and Intermediate Housing tenure for affordable housing delivered in the Borough. As with the amount of affordable housing, the mix between Intermediate and Social housing for a development will need to be established at the time of application. This should be agreed with Hounslow Council officers at the pre-application stage. The Council will usually seek the target 70:30 mix on developments for which DEVELOPMENT PLAN Policy applies. There may be instances, however, when the Council accepts that an alternative mix between Social and Intermediate housing is appropriate. 30

Should the Council consider that the proposed mix between Social and Intermediate housing is not acceptable, permission for the development may be refused. Mix of Units and Space Standards for Social Housing The Council seeks to ensure that the mix of dwellings, types, sizes and tenures in large housing developments and this applies to qualifying affordable housing schemes. Accordingly, targets for the following mix of units by bedroom numbers/people accommodated for and minimum space standards have been set for Affordable Housing. These targets will be monitored and adjusted over time to allow for updating. DWELLING MIX (SIZE AND TYPE) BY TENURE Social rented provision 1 bed (1/2 persons) 24% 2 bed (3/4 persons) 34% 3 bed (4/5/6 persons) 30% 4 bed (6/7/8 persons) 10% 5 bed (8/9/10 persons) 2% 100% Intermediate provision 1 bed (2 persons) 50% 2 bed (3 persons) 24% 2 bed (4 persons) 17% 3 bed (5/6 persons) 9% 100% Note: A minimum requirement of 10% cross-tenure for wheelchair provision. The units by bedroom numbers target is similar to the West London target and reflects the housing need of the Borough, and the Hounslow Plan. The Council will seek, while taking account of a site s characteristics, the above mix of housing types for all affordable housing developments. The Council wishes to ensure that new affordable housing is fit for purpose now and in the future. The need to maximise land use through higher density housing, often in flatted developments with limited amenity space, means that internal space standards are now more important to ensure sustainability and livability into the future. In order to address these issues the Council adopts the Housing Corporation design requirements, and Eco Homes Very Good rating, as well as the Housing Quality Indicator minimum standards. 31

The Council will work with developers and RSL partners to deliver new social housing at these target space standards. In doing this consideration will be given to the specific circumstances of each scheme. For example where there is a good level of external amenity to meet the needs of a wide age range of children it may be acceptable to consider space standards not below the minimum of the Housing Quality Indicator standards. The Council seeks the provision of larger family units (3 bedroom plus) for intermediate housing on sites, providing they are affordable according to the criteria set out in this chapter. The Council seeks to ensure that intermediate housing is demonstrably affordable for its residents. Accordingly, it will seek the provision of a range of intermediate housing rents or prices to meet the full range of those in need of intermediate housing. Analysis of the Council s register has been used to establish the income levels of those registered in the Borough and a range of products to meet the different income ranges is appropriate. All targets are relevant at the time of production of the SPD and will be revised as circumstances dictate. In considering what is affordable to intermediate households the Council regards that no more than 40% of a household s net annual income should be allocated towards housing costs (including service charges). 2.9 Negotiating the Maximum Reasonable Proportion of Affordable Housing The Council will seek the maximum reasonable proportion of affordable housing on qualifying sites. In accordance with the Development Plan the initial basis for negotiations is that 50% of all housing should be provided as affordable housing. Should an applicant propose a lower proportion of affordable housing a financial appraisal will be required in order to demonstrate the maximum reasonable proportion for the specific site. The Further Alterations to the London Plan (policy 3A.8i) encourages Boroughs to seek a lower threshold through the DPD process where this can be justified in accordance with government guidance. One method for which proposed developments may be assessed in Hounslow is through the use of the Development Control Toolkit developed for the Greater London Authority (GLA) by Three Dragon s Consultants and Nottingham Trent University. Although it is recognised that a methodical approach to projecting costs and profits will never be perfectly accurate, in the interests of objectivity and consistency of analyses, the Development Control Toolkit is publicly available and therefore is recommended as a tool to inform the negotiation process. 32

The Toolkit requires a number of inputs of information regarding incurred and projected costs. A reasonable profit for the developer is projected for, as is the amount of Social Housing Grant (if any) that may be available. An outcome projecting what would be a reasonable proportion of affordable housing contribution is provided, which will be used as one basis for negotiating the proportion of affordable housing. It is important that the information provided for use in the Development Control Toolkit is accurate. The Council may seek detailed evidence of costs incurred, the assumptions made for those costs and sale prices that are projected. Preapplication research should be sufficient to consider all likely costs to be incurred in the development. Applicants should not automatically assume that Social Housing Grant will be made available for private sector developments. The applicant should consult with the Council s Housing Enabling Team at an early stage, preferably in cooperation with an RSL partner, to establish whether Social Housing Grant or an alternative source of funding is likely to be secured. Other sources of grant and other types of subsidies such as discounted land acquisition costs will be incorporated into the model as well as other exceptional costs on the development, where relevant. In addition to affordable housing, it is also possible that developments that incorporate affordable housing will need to contribute to other community needs. Although the Development Control Toolkit is recommended as a financial appraisal method, the Council will not preclude information being presented through other appraisal methods. However, all figures and assumptions will need to be clearly shown in any model used, so the Council can understand how the assumptions are made. Early engagement with the Council is critical to ensure the processes of negotiation and securing affordable housing set out above are undertaken efficiently. 2.10 The Nature of Affordable Housing Provision The following process explains the manner in which affordable housing can be provided in Hounslow, ranging from the most likely: On-site provision to the least likely form of provision: a payment in lieu. 1. On-site provision On-site provision is the Council s preference for how affordable housing will be provided by developers. Only in very rare circumstances, where the Council is satisfied that it would be appropriate, will any other form of provision be 33

accepted. This reflects the Government s policy of ensuring a mix of housing types in communities so as to encourage the development of mixed and inclusive communities. 2. Off-site provision There may be very rare occasions where on-site provision is not the most suitable option. Such instances will be where there are demonstrable benefits in providing off-site affordable housing (in part or in full). Exceptional circumstances will need to be demonstrated by the applicant. Examples of where it may be accepted (in part or in full) are: - Where ongoing necessary costs of a considerable amount would be incurred by the occupants of the affordable units of a development, such as necessary and reasonable service charges - Where there are unusually high build costs, in recognition of the need to enable residential development rather than discourage it, and off-site provision leads to the improved viability of the scheme. - Where certain affordable housing types, such as larger family provision, cannot be easily accommodated or be unsuitable on-site. This scenario may be considered should the Council s monitoring information indicate that certain unit types are not being delivered to the Council s targets. Note the above list is not exhaustive. In instances where it is accepted that off-site provision is appropriate, the onus will be upon the developer to find and acquire a more suitable site which would not otherwise be expected to come forward for affordable housing. In such instances the amount of affordable housing will be negotiated as a proportion of both sites combined, and it is expected that, in line with the London Plan SPG off-site provision should be delivered prior to the completion of the on-site market housing. Off-site provision should be financially-neutral, i.e. there should be no financial advantage to a developer in providing the housing this way. 3. Financial Contribution to the Council It is considered unlikely that the Council will accept any financial contributions instead of affordable housing provision. However, if exceptional circumstances are shown by the applicant to demonstrate that neither on- nor off-site provision are appropriate, the Council may accept a financial contribution. All financial contributions will be placed in the Council s Affordable Housing Fund, which is a specific interest bearing account administered by the Housing Services. The Fund is only used for the provision of affordable housing in the Borough in accordance with policy and procedure determined by the Council. Financial Contribution Formula (should such instances arise). 34

In cases where a financial contribution instead of on-site or off-site provision is appropriate, Hounslow Council will calculate the contribution as follows: a) An amount per habitable room that would have been provided as the affordable housing contribution on site in accordance with the Council s target mix in respect of social housing. The amount per habitable room to be used in the above calculation is: Financial Contribution per habitable room 29,341 The above has been calculated by reference to the Housing Corporation TCI for an 85-90m2 dwelling to reflect the overarching need for larger family homes for rent, at an average public subsidy rate of 62% [ 189,300 x 62% divided by 4]. b) an increase in the above total sum to reflect the increase in market units that will arise from not providing affordable housing on the site. The basic contribution calculated in a) above is then increased by the percentage increase in the number of market units that will be provided on the site in place of the affordable housing. For example: Proposed Housing Scheme = 50 units. Amount of affordable housing sought on site = 25 units in the mix 2 x1 beds, 12 x 2 beds, 6 x 3 beds, 4 x 4 beds and 1 x 5 beds = 90 habitable rooms Number of market houses = 25 Making a financial contribution means that the number of market units increases from 25 to 50, an increase of 100% Total payment is therefore: 90 x 29,341 x 2.0 = 5,281,380 All financial contributions will be placed in the Council s Affordable Housing Fund, which is a specific account administered by Housing Services upon the recommendation of the Executive Committee. The Fund is only used for the provision of affordable housing in the borough in accordance with policy and procedure determined by the Council. This formula is relevant at the time of production of the SPD and will be revised as circumstances dictate. DELIVERING AFFORDABLE HOUSING IN HOUNSLOW 2.11 Obtaining Subsidy The Council will support bids to the Housing Corporation for Social Housing Grant for mixed tenure and 100% affordable schemes that include affordable housing, where the amount and type of affordable housing would not be 35

deliverable without it. Schemes that provide only shared ownership or other intermediate housing will not normally be supported for grant bids unless they are in support of other corporate Council initiatives such as the regeneration of a specific area. In order for the Council to support the level of subsidy required it will need to be satisfied that the amount is reasonable and necessary. In order to ensure affordability in the long term and meet Housing Corporation expectations in relation to value for money, the Council will require the affordable housing units to be transferred to an RSL at a cost that does not exceed the Housing Corporation allowed inflation uplift from 80% of the last published Total Cost Indicator of 2004/05(TCI) less actual on-costs of the RSL. Based on grant per person, this should be demonstrably affordable and demonstrate value for money. Securing Affordable Housing The Council s preferred method for securing affordable housing is via a legal agreement in accordance with Section 106 of the Town and Country Planning Act (1990). Where possible, RSLs who are to be involved in the delivery of affordable housing will be expected to be party to the Section 106 agreement. In order to ensure that affordable housing continues to be affordable to those in housing need, and managed to standards set by the Housing Corporation and Audit Commission, the Council requires the legal interest and management of the affordable housing secured through the application of Development Plan Policy to be transferred to an RSL or, with the Council s agreement to an equivalent and satisfactory person or body. If the housing is transferred to an RSL these requirements will be deemed to have been met. The proposed number and tenures of affordable units, and the number of bedrooms in each of those units, will be stated in the legal agreement or unilateral undertaking. All parties with an interest in the land will be bound by the legal agreement or unilateral undertaking. 2.12 Design Issues Developments need to comply with the design policies of the development plan, and aside from the need to comply with affordable housing policies, issues relating to the design of a development can lead to the refusal of an application. There are, however, particular design issues that are raised by residential developments that provide affordable housing alongside market housing. As far as reasonable the outward appearance of affordable housing should not be easily distinguishable from market housing. Façades should consist of the same building materials and elements as the market houses of the same development, and should adhere to the HQI standards and Eco Homes ratings. 36

This is in order to ensure the provision of developments that contribute positively to the streetscape and landscape and to minimise the impression of segregation between affordable and market units (which may create or reinforce problems of social exclusion). Design and management proposals that create or imply segregation between market and affordable housing are likely to be regarded unfavourably by the Council. Such issues are best discussed and resolved with Council officers during the pre-application stage. Communal open space and other amenities should, unless special circumstances can be demonstrated, be accessible to all occupants of a development. On larger developments, which will be qualifying sites, the Council seeks to ensure that a proportion of units are built to full wheelchair housing standard as well as the remaining housing being built to Lifetime Homes standards. The Council will seek that a minimum of 10% of units across tenures will be provided to full wheelchair standard. In developments for which Social Housing Grant will be sought, applicants should be aware of the need to comply to the most up to date Housing Corporation Scheme Development Standards. It is advised that these standards be considered from the outset of the development and are incorporated in the design to maximise the chance of a successful bid. 2.13 Higher Density Developments Higher density developments can be suitable for all types and tenures of affordable housing, including larger family housing (units of three bedrooms or more), provided that they are appropriate and accord with development plan policies. Schemes that incorporate good design, intensive management and appropriate access to amenity space such as gardens, public open space and/or children play areas are suitable for on-site provision of affordable family housing. Applicants should consult the London Housing Federation s guides Capital Gains Making High Density Work, a report for the London Housing Federation and in particular High Density Housing for Families a design and specification guide when designing higher density developments. In accordance with this guide the Council will consider, in consultation with RSLs, the implementation of sustainable lettings plans in higher density schemes, to ensure the creation of mixed and balanced communities. Careful design will be required to ensure the appropriate placement of family units. 37

High Density Housing for Families a design and specification guide includes information on the following areas considered important to ensure the long term liveability of a scheme: - Access to dwellings and security - Lifts - Private open space - Shared and semi-private open space, in particular with regard to child play areas - Space standards, storage and amenity, refuse and recycling space within the dwelling and development - Privacy and sound insulation - Clothes drying 2.14 Procedures for Schemes that Include Affordable Housing The Council wishes to deal efficiently with planning applications and aims to issue decision notices within the target 13-week period for major applications or within the 16-week target period for applications requiring an environmental impact assessment. It is thus important for all parties to engage in early discussions regarding issues that could influence the Council s decision. The applicant should engage in early discussions with an RSL partner or agreed affordable housing provider (unless the applicant is itself an RSL). This is because the Council prefers RSL involvement and recommends that their experience be utilised in the process of bidding for grant. The Council s preferred RSL partners and their contact details, can be provided by the Council s Housing Enabling Team. Before an application is submitted the applicant should ensure, through discussions with Development Control officers, that they have included the required information, including specific information relating to affordable housing. Insufficient information is a common cause in delays in the Council reaching a decision as to whether to grant permission or not. In terms of affordable housing, the applicant will need to provide: Information on the amount of affordable housing in terms of units, habitable rooms and floorspace, and how this relates to the policy requirements in terms of: i) the amount of affordable housing ii) the target mix between Social and Intermediate housing and bedroom numbers in the units iii) amount of living space in the units, a financial appraisal (should less than 50% affordable housing be proposed), including evidence of how all figures were arrived at and assumptions made; these will be assessed as part of a planning application, 38

the affordability of each unit of affordable housing, in terms of costs to the occupant (including service charges) the number of units that are developed to full wheelchair and lifetime homes standards, and how the HQI and design issues have been addressed. 39

SPD - Contributions Towards School Places 3.1 Introduction Policy IMP.6.1 of the UDP states, the Council will seek to ensure that a developer enters into a planning obligation to secure planning benefits related to the proposed development The provision of buildings and/ or facilities to satisfy the need for additional educational resources which the development may generate, is listed as a guide to the types of related benefits that may be sought, and policies H.4.5 and C.2.1 refer specifically to education facilities. 3.2 Qualifying Schemes Where a proposed development will create an increased demand for school places the Council will negotiate with developers to secure contributions via a planning obligation. However, it is recognised that certain types of housing such as specialist housing for the elderly will not directly generate children, and therefore contributions towards educational facilities will not be sought by the Council in respect of such developments. All residential development, including conversions, has the potential to create demand for school places. The Local Planning Authority will require a contribution from developments of 10 or more residential units, excluding specialist housing for older people. Housing for rent provided by a registered social landlord via planning obligations where the Council has 100% council nomination rights, would not be considered to be a qualifying scheme as such accommodation generally houses children already resident and educated in the borough The formula will apply to all developments exceeding the threshold. Existing surplus capacity, which varies across the borough and over time, is projected to be required to accommodate growth of the borough. Therefore, all new developments above the threshold, which create additional demand on school places are required to contribute using the formula below. 3.3 The Formula The following formula will be used to calculate payments due: Number of each unit size by bedrooms (2+ bedrooms) x Child Yield for that size unit percentage not educated in LEA schools = No. Children Generated 40

x average cost of new school place = contribution required 3.4 Components of the Formula Child Yield is the average number of children likely to be generated by new housing. From London Research Centre data, the Borough is able to estimate the number of children likely to occupy housing of different sizes. These are set out below: Number of children per house type Bedrooms 1 2 3 4+ General Market Housing 0.1 0.25 0.48 0.82 Social Housing 0.08 1 2 3.3 The table is based on a range of best available data, including census analysis, sample data from existing developments, the Council s Housing Allocations Policy and GLA data. It will be monitored over time to ensure it is kept up-to-date. Pupil take-up is the proportion of children likely to be educated in maintained schools in the borough. It is recognised that not all children of school age generated by a development will attend a maintained school in the Borough as some may take up alternative education provision. The child yield figures relating to the number of school age children generated by a new development will therefore be reduced by a factor of 10% to take account of this, and this figure will be reviewed periodically. For social housing 100% of the pupil yield is assumed to require places in local authority schools. However it is recognised that a proportion of these children will already be educated within local schools. Where a developer is able to provide evidence that this is the case, a proportionately reduced contribution will be negotiated. Age Split The pupil take-up by sector is as follows, based on census data: Primary 44% Secondary 31% Cost per school Place 41

The final element in the Council s formula for planning contributions involves calculating the average cost of providing a school place. The average cost of providing a secondary, post- 16, primary and nursery place has been calculated using DfES indicators. These are based on a formulaic approach relating to LEA s basic needs bids for additional provision and does not provide the full cost of providing new school places. On a case-by-case basis therefore costs can be higher. The costs for 2006-7 are: - Primary/Nursery: Secondary: 11,513 per pupil place 17,591 per pupil place These figures are updated annually by the DfES 1 and will be kept under review annually through the SPD and AMR. These are not considered to be the full cost of providing a new school place and as such are seen as a contribution towards providing a school place. 1 http://www.teachernet.gov.uk/management/resourcesfinanceandbuilding/schoolbuildings/designgui dance/costinformation/ 42

SPD - Community and Health Facilities 4.1 Health Facilities The London Healthy Urban Development Unit (HUDU) of the NHS has developed a standard model for predicting the likely health impacts of a development, based on the local circumstances in Hounsow. The HUDU model forecasts the additional health demand that might result from a new residential development and quantifies the impact in terms of physical space and subsequent cost. The series of calculations and formulae used are described in detail in the guidance notes that accompany the model, available at www.healthyurbandevelopment.nhs.uk In considering whether contributions will be sought towards the provision of health services, the Local Planning Authority should liaise with their local NHS Primary Care Trust and other relevant agencies. They should give consideration to relevant health documents such as the Local Delivery Plan, the Strategic Services Delivery Plan and Local Health Service Needs Assessment. 4.2 When Contributions Will be Sought Contributions will be sought where, as a result of the development: New premises/facilities are required as a result of the increased needs arising from the development; Current facilities are inadequate for the additional users that will require them due to the new development, in terms of their quality or accessibility for users (based on accepted NHS standards) and therefore need to be improved or extended; Inadequate funding is available to provide the additional facilities or services required as a result of the development. Contributions will be sought from all residential developments providing a net addition of ten or more units. 4.3 The HUDU Model The contribution required for health facilities can be calculated using the HUDU planning contributions model developed by the NHS London Healthy Urban Development Unit (HUDU), or a similar model as agreed by the Council. The HUDU Model calculates contributions towards the following services: Primary Care (GP services) Intermediate Care: Say places and beds; Acute facilities: elective, non-elective and day care beds; Mental health services. 43

These are not taken to be the full range of health facilities that may be affected from new development. Contributions towards social care facilities may also be sought, but these are not reflected within the HUDU model. Contributions will be pooled over time and when appropriate, a new facility provided. This facility may be provided on or off site as available or through expansion of existing facilities. Where a developer can provide a new facility on site, this cost can be put against their calculated contribution for health facilities and any deficit met from the appropriate pool of funding. 4.4 Other Community Facilities The Borough has a number of meeting halls and community buildings that constitute an important component of everyday life for large sections of the population. Population growth can put pressure on the provision of such services. New residential developments may be required to contribute towards the provision, enlargement or improvement of libraries, community centres, youth centres and halls. The Council will seek contributions from development towards such culture and leisure provision, and will secure these via planning obligations. Provision of community centres, youth centres and/or halls, will be sought where necessary as part of a major residential or mixed use developments (see para. 1.7), particularly as part of major regeneration schemes.. The Council will also be seeking contributions from developments which increase the need for community facilities or where there is an identified deficiency which would arise from or be exacerbated by the development. The nature of the contribution required will be negotiated, taking into account the location, scale and nature of the proposal. As a guideline, where a contribution is sought, this would be charged in accordance with the following formula, which has been sourced from the joint Sports England/Milton Keynes Council/Sports England pilot study 2004. The cost of providing a community centre, youth centre or hall is approximately 1,520 per square metre. The required amount of hall space per person is given as 0.061m2 per person, giving a cost per person of 92.72, which would then be multiplied by the average occupancy for each unit to give a total cost per unit. 44

SPD Open Space, Play Space and Recreation 5.1 Introduction UDP policy IMP6.1 is the key policy that seeks to secure planning obligations from developers to provide community benefits. The key UDP policies supporting the use of planning obligations for open space provision are ENV- N.1.10 Provision Of New Local Open Space and ENV-W.1.10 The Thames Path National Trail and Access to the River seeks improvements to access to the Thames riverside 5.2 The Hounslow Plan The Plan sets the overall vision for the development of the Borough over the long term in seven major themes, which reflect community priorities. Targets aiming specifically at the improvement of open space include: Improving community involvement in parks and open spaces by facilitating Friends Groups and increasing volunteer programmes for targeted parks and open spaces. The production of an Open Space Strategy. 5.3 Hounslow Sport and Active Recreation Strategy (2005) The Hounslow Sport and Active Recreation Strategy is currently in its final draft and makes the case for a multi agency partnership, working towards the common purpose of promoting participation in sport and active recreation for all sectors of the community. 5.4 Hounslow Play Strategy The aim of the Play Strategy is to ensure that all children and young people have easy access to a range of quality play opportunities within a reasonable distance and practical journey from their home without the need to use public or private transport. 5.5 When Contributions will be Sought Where a site is located within an area of open space deficiency, a financial contribution will be required where full provision is not made on site, based on assessment of the need generated, and applying the guidance within Circular 05/2005. The sum will be based on the proportionate amount of land required by the standard of 1.83 hectares per 1,000 population, multiplied by the capital cost of creating the open space. The Council will seek maintenance payments where provision is to be made locally in accordance with the guidance in Circular 45

05/2005. The Mayor s draft SPG on Play Space refers to a benchmark of 10 sq.m of play space per child. Where a site is not located within an area of open space deficiency (see UDP Map ENV-N1) a sum will be sought towards enhancing quality and access to open space in the vicinity of the site, based on a rate of 50% of the full cost of provision. The formula for calculating the cost of provision applies to all major residential developments (10 or more residential units), including mixed use developments, in areas of open space deficiency shall be required to provide open space on site, or make a payment in lieu, towards provision and/or enhancement of open space off-site. All residential developments, including mixed use schemes, of 10 units or more which are not in areas of open space deficiency shall be required to make a contribution towards enhancement of provision off-site. The cost of enhancement will be calculated as 50% of the total cost of provision. Potential benefits include: Creation of new areas of open space. Enhancement of existing open space. Identifying sites where new pedestrian crossings or bridges/underpasses would enhance access to open space currently affected by severance lines. Providing recreational facilities and landscape enhancements to improve the recreational and amenity value of the Borough s Rivers. With the agreement of owners, the community use of private recreational facilities within areas of open space deficiencies will also be encouraged so as to overcome such deficiencies. 5.6 The Formula- Off-Site Open Space Provision or Enhancement The calculation of a cash-in-lieu payment is as follows: Size of Unit (bedrooms) Average Occupancy Amount of provision Cost per m2 (land and VAT excluded) Total cost per unit Total cost per unit if not within an area of open space deficiency 2 2.0 36.6 m2 10 300 150 3 2.8 51.24 m2 10 500 250 4+ 3.5 64.05 m2 10 650 320 46

5.7 Private Residential Amenity Space provision Objective H.4 of the UDP is to allow for new housing development and conversions within existing residential areas. A set of standards and guidelines, which are to be applied flexibly, ensure that development relates well to the surrounding area, are published in a separate Supplementary Planning Guidance (SPG). It recommends that usable amenity space should normally be provided at no less than the following standards: 3 habitable rooms and under 50sq.m 4 habitable rooms 60sq.m 5 habitable rooms and over 75sq.m Other forms of residential or mixed use development should provide communal areas for the exclusive use of that development. There is a general need to provide more space for larger flats and the more flats there are on a development the greater the aggregate amount of communal areas that should be provided. Communal amenity space should normally be provided at no less than the following standards: Each Flat 3 habitable rooms and under 25sq.m 4 habitable rooms 30sq.m 5 habitable rooms and over 40sq.m The draft Open Space Study sets out a local standard for unrestricted open space of 2.88 hectares per 1,000 population. Because private amenity space fulfils a range of visual and amenity functions, including play space, recreational space, garden, and private informal space, it is expected that the contribution towards open space provision off-site will be commensurate with the full Borough-wide provision of 2.88 hectares per 1,000 population. 5.8 Qualifying Schemes All sites will be required to provide the full amount of on-site open space. Where a residential or mixed use development outside of an area of open space deficiency fails to provide the recommended amount of on-site private amenity space, but is otherwise considered acceptable, a contribution towards the improvement or provision of public open space within the vicinity will be sought. 5.9 Formula: Where the required standard of private amenity space is not provided on site, this will increase the need and demand for off-site open space to fulfill a range of 47

needs. The contribution will be based on the cost of providing or enhancing open space provision in the vicinity of the site, based on the existing standard of provision in the Borough of 2.88 hectares per 1,000 population. This acknowledges the multi-functional uses which private amenity space provides, and the corresponding increase in need and demand for open space off-site where insufficient space is provided on-site. The contribution will be based on the cost of providing 28.8m2 of open space per person. The cost of provision of open space is based on the cost of laying out open space and is sourced from the Sports England/Milton Keynes/English Partnerships joint pilot project (2004). Size of unit Average occupancy Amount of Provision Cost per m2 (land and VAT excluded) Total cost per unit Studio / 2 1.4 40.32 m2 10 400 habitable rooms 3 habitable 2.0 57.60 m2 10 600 rooms 4 habitable 2.8 80.64 m2 10 800 rooms 5+ habitable 3.5 100.80 m2 10 1,000 bedrooms Average occupancies from GLA analysis of the London Household Survey 2005 Cost per unit figures have been rounded for ease of use. Where a proportion of the required private amenity space is provided on site, the total financial contribution sought will be reduced in proportion, and will be negotiated on a case-by-case basis. 5.10 EXAMPLES: A) 10 units are proposed, with 5+ habitable rooms which would require 1008 square metres of amenity space. If only 900 square metres can be provided, but the proposal is otherwise considered acceptable, the required contribution would be: ( 1000 x (1000/900)) = 1111 B) 80 flats are proposed, each with 3 habitable rooms. Each should provide 57.6m2, totaling 4608 M2. 48

If only 50 square metres can be provided per unit (totaling 4000 M2), but the proposal is otherwise considered acceptable, the required contribution would be 600 x (7.6/57.6) = 79 per unit, or 6320. Note that this contribution would be required in addition to the general open space contribution set out above 5.11 Sports and Recreation Government guidance in PPG 17 Open Space, Sport and Recreation states Local authorities should ensure that provision is made for local sports and recreation facilities (either through an increase in the number of facilities or through improvements to existing facilities) where planning permission is granted for new development (especially housing). PPG17 encourages local planning authorities to develop local standards for sport and recreation provision. 5.12 Play Space The Council recognises that play is vital to children s development, including their education, health and social well-being. The National Playing Fields Association (NPFA) minimum standard sets out a hierarchy of types of provision for play areas known as Local Areas for Play (LAPS), Local Equipped Areas for Play (LEAPS) and Neighbourhood Equipped Areas for Play (NEAPS). A LAP has a 60-metre catchment, a LEAP has a 240- metre catchment and a NEAP has a 600-metre catchment. The Council will seek to secure suitably located new play space as integral within new developments, and these should singularly or cumulatively provide the appropriate proportion of at least 0.8 hectares of play per 1,000 population. LAP requirements should be provided on site. LEAP and NEAP requirements may be provided within the vicinity of the site. 5.13 Play space formula The formula is calculated using the number of persons likely to inhabit a development, the required need for play space and facilities generated as a result of the development based on the local standard of 0.8 hectares per 1,000 people, and the capital and maintenance costs per square metre of the play space and facilities required. The formula is based on the Sport England Good Practice Guide Providing for sport and recreation through new housing development (2001). 49

Developments which are not within areas of LEAP and NEAP deficiency will be required to contribute to enhancement of existing facilities at a rate of 50% of the full contribution. The costs are based on the NPFA Cost Guide to Play (2003). Maintenance costs are excluded. The contributions will be pooled and used to fund provision or enhancement of existing play space and facilities, within the vicinity of the development. The application of this approach does not include studio, one-bedroom flats or sheltered accommodation. This approach accords with the 6 acre standard (NPFA, 1989), PPG3, and PPG17. Play space contribution: Type of provision NPFA standard (per person) Cost per m2 Cost per person LAP 1m2 60 60 LEAP 2m2 80 160 NEAP 5m2 80 400 Total Cost per Person 620 The cost per person is multiplied by the average occupancy to give a total cost per unit as follows: Size of unit Average occupancy Cost per unit Cost per unit where a site is not within an area of LEAP or NEAP deficiency 2 bedrooms 2.0 1200 600 3 bedroom 2.8 1700 850 4+ bedrooms 3.5 2000 1000 Average occupancies from GLA analysis of the London Household Survey 2005 Cost per unit figures have been rounded down for ease of use. 5.14 Potential Benefits: The specific type of play space that should be provided will be dependent upon the site size and location as well as the local needs within a 600m straight-line catchment of the site. In some circumstances it will be more appropriate to improve and diversify existing facilities instead of seeking to provide new sites. 50

Where on-site provision of play space and facilities is not appropriate, the contribution will be pooled with others and used for provision or improvement to play space and facilities in the vicinity of the developments in order to provide for the needs of the increased population. 5.15 Landscaping and Comprehensive Project Areas Landscaping can contribute to the quality of local areas and the Council expects that suitable provision will be made for high quality hard and soft landscaping treatment as part of development schemes. In most cases these works will form an integral part of the development, or be secured by planning conditions. However, on larger developments a comprehensive landscaping assessment, and the provision of additional landscape and habitat protection works may be secured via a S106 agreement or unilateral undertaking Developments within or adjoining the Comprehensive Project Areas as identified on the Unitary Development Plan Proposals Map will be expected to contribute to improvements within these areas. 51

SPD Public Realm 6.1 Introduction The quality of the built environment affects the way in which people perceive and enjoy places and spaces. The maintenance and enhancement of the quality of the built environment makes an important contribution to sustainability and quality of life, and is one of the key sustainability principles of the Development Plan. 6.2 The Formula for Environmental Improvements Contributions The level of contribution has been set on the basis of typical costs of recent Council environment improvement projects. The level is set on the basis that it will provide a proportion of the realistic costs of providing environmental improvements within the Borough which become necessary as a result of additional development. An assessment will be made in each case as to whether the level of contribution is sufficient and it may be necessary to require developers to contribute a greater proportion of necessary funds. An additional contribution will be sought from A3, A4, A5, and D2 uses in order to reflect the higher pressures that these uses can put on the public realm due to the high number of trips that are generated by such uses. For large developments (over 1,000m2 gross floor area) it is preferable for developers to make direct improvements to the public realm (subject to agreement as to the specific nature of the works), to a standard satisfactory to the Council, in lieu of making a contribution. The required level of contribution is set out below. Residential: 300 per bedroom Non-residential: 300 per 100m2 gross floor area. A3/A4/A5: An additional contribution of 100 per 100m2 will be sought from A3/A4/A5 uses to account for the additional pressures such uses place on the public realm. 6.3 Safety and Security Measures Policy ENV-B1.1 New Development sets out a number of criteria to ensure that proposals make a positive contribution to overall environmental quality. 52

This states that development should be designed to enhance safety and security in the environment by taking into account the Council s relevant guidelines (see policy ENV-B1.9, SPG, Crime Reduction Strategy and DoE Circular 5/94 Planning Out Crime ). Policy ENV-B1.9 Safety and Security refers to the Council s safety and security guidelines. In most cases, safety and security measures will be provided as an integral part of the development, or will be required by planning condition. In some cases, a planning obligation may be sought towards strategic safety and security measures on advice of the Metropolitan Police Service in order to create a safer environment within the area of the proposed development. Where this is appropriate, the Council will seek the provision of on or off site features. 6.4 Qualifying Developments All developments will be required to provide development-specific measures in terms of safety and security. Where a requirement for safety and security measures is identified as being necessary and relevant in accordance with relevant policy and Circular 05/2005 and cannot be secured as part of the development or via condition, a S106 agreement or unilateral undertakings will be used. In particular, contributions towards safety and security measures will be sought from the following developments: All new major development proposals for leisure, entertainment and hotel developments. All late night cafes/restaurants, public houses and nightclubs. Major town centre developments that will generate significant visitor numbers and trip movements, assessed on a case-by-case basis. 6.5 The Formula for Safety and Security Contributions The costs of providing the necessary safety and security measures will be negotiated on a case-by-case basis pursuant to the location, nature and scale of the development and the type of safety and security measures which are identified as being necessary. In the case of CCTV schemes, where it is considered necessary to improve or provide a public CCTV scheme, the Council may seek contributions towards the full or partial costs of a CCTV scheme. The provision of public CCTV schemes will be limited to town, district or local centres, public space, and industrial estates. Public CCTV schemes will not be provided in residential areas as they are considered to be too intrusive. The cost of providing a CCTV camera, linked to the appropriate control room in Hounslow is in the vicinity of 25,000. A contribution from developments towards 53

the cost of provision would need to be commensurate with the location, scale, and nature of the proposed development. The Council will use contributions towards potential benefits such as the provision of CCTV, additional or improved street lighting, neighbourhood wardens or late-night bus services. An assessment of the necessary schemes in order to make a development acceptable will be made in each case. 6.6 Landscape Provision in new development Landscaping can contribute to the quality of local areas and the Council expects that suitable provision will be made for high quality hard and soft landscape treatment as part of development schemes. In most cases, these works will form an integral part of the development, or can be secured by planning conditions. However, on larger developments, a comprehensive landscaping assessment, and the provision of additional landscape and habitat protection works, together with any appropriate maintenance programme, may be secured via a section 106 agreement or unilateral undertaking. 6.7 Public Art Public art can be permanent or temporary works of art visible to the general public, whether part of the building or free-standing, and can include sculpture, lighting effects, street furniture, paving, railings and signs, including where appropriate maintenance for a time limited duration. Public art can improve the quality of the public realm and add to the process of urban regeneration. In improving the quality of the public space, public art can contribute to the quality and value of a development and hence can be seen to increase the marketability of a development. The Council expects, in accordance with Policies ENV-B.1.5 and IMP.6.1 of UDP and London Plan policy 4B.4, public art should be incorporated as part of a development or in the vicinity of the site, in order to offset the loss of or impact on any amenity, and to contribute to the quality of the development and of the public space in the vicinity. In appropriate circumstances, a planning obligation may be sought to achieve these benefits. The s106 agreement or unilateral undertaking should clarify the procurement and management process, location of the works, timetable for works, ownership, insurance, and maintenance issues. Public art may encompass such works as paving patterns, street furniture, railings and signs, and hence may incorporate broader environmental improvement works. 54

6.8 Qualifying Developments All major developments within Hounslow s Town Centres or the District Centres (which are defined and shown within the Development Plan Proposals Map) will be expected to contribute to art in the public realm. 6.9 The Formula Public Art The Council shall seek to ensure that the cost of public art provided in association with new developments equates to approximately 1% of gross development cost (excluding land values) of a development project. The Council prefers that the artwork is integrated within the development, or that the developer commissions specific work to be part of the surrounding public space or surrounding the building. Where it is shown that the artwork cannot be incorporated within the development, the Council will accept a financial contribution equivalent to 1% of gross development cost. The financial contribution will be used to provide public art within the vicinity of the development, and may be pooled with other contributions. The Council will require an estimate of the building costs in order to assess the gross development costs and to assess the percent for art contribution. 6.10 Flood Risk In accordance with PPS25 and the Development Plan development proposals within Areas at Risk from Flooding as identified in the Strategic Flood Risk Assessment will be required to demonstrate that they comply with guidance set out in PPS 25 Flooding, and the Development Plan. 6.11 Qualifying Developments Any site located in and identified in the Strategic Flood Risk Assessment, or where it is considered that the impact of a proposal would result in increased flood risk downstream. 6.12 Air Quality, Energy Efficiency and Renewable Energy The Council has published a separate SPD on Air Quality. This takes into account new planning policies including PPS23, The London Plan, saved UDP policies and emerging LDF policies and aims to help reduce exposure to air pollution across the whole of Hounslow. This is particularly important for PM 10, as this pollutant has a significant impact on health and has no safe threshold. In order to reduce overall exposure, background pollution will need to be reduced, so it makes sense that every development that has the potential to emit pollution should require mitigation or off-setting to help achieve an overall reduction in Hounslow s air pollution. 55

In accordance with London Plan 4A.7, the Mayor s SPG Sustainable Design and Construction and UDP policy ENV-B.1.1 the Council will seek the most environmentally efficient supply and use of energy and water in new development and the re-use of buildings by encouraging design proposals which promote energy and water conservation, including the reuse of grey water. The Council will seek to ensure that energy conservation measures for all major development schemes are taken into account and this will normally be required as part of the development proposal, or required by condition. In exceptional circumstances a planning obligation may be necessary to ensure that energy efficiency measures are undertaken. 56

SPD Employment, Training & Childcare 7.1 Introduction It is a key objective of the Council to promote sustainable economic regeneration, minimise levels of unemployment among residents of the Borough, and improve the environmental quality of industrial locations. Skills shortages are a constraint to business growth in Hounslow. The Community Strategy emphasises the importance of providing workforce training, to help improve the Borough s potential as an attractive area for businesses to locate, as well as helping workers into higher paid jobs, and a range of premises to fit with the range and type of units needed. 7.2 Developments requiring planning contributions The Council will, where appropriate, seek to secure planning obligations relating to employment, training, and childcare. The threshold above which these will apply is as follows: Planning contributions for Training and Employment will be required for qualifying B use classes and other developments, namely B1 Business; B2 General Industry; B8 Storage and Distribution; or Any other use classes classified as major development within the General Development Procedure Order 1995 2 which give rise to a need for such planning obligations and meet the criteria of Circular 05/2005; and located within a Defined Employment Area within the Development Plan and Employment DPD (and associated Proposals Map) and Area Action Plans; or located on land previously or currently used for employment uses. In these cases he applicant will be required to undertake an assessment of the proposal to be evaluated by the Council s Economic Development Department, and it would be reasonable to expect the development to mitigate the harmful 2 The Town and Country Planning (General Development Procedure) Order 1995 (Statutory Instrument 1995 No. 419) defines Major Development as development involving any one or more of the following (a). the winning and working of minerals or the use of land for mineral-working deposits; (b). waste development; (c). the provision of dwelling houses where - a. the number of dwelling houses to be provided is 10 or more; or b. the development is to be carried out on a site having an area of 0.5 hectare or more and it is not known whether the development falls within paragraph (c)(i); (d). the provision of a building or buildings where the floor space to be created by the development is 1,000 square metres or more; or (e). development carried out on a site having an area of 1 hectare or more. 57

impacts identified. This will inform the Development Control process in establishing the range of planning obligations appropriate to the development. The planning obligation that is appropriate will be considered alongside other planning obligations as part of a negotiated package where applicable. 7.3 Delivery Planning contributions made to the council for employment and training are managed by the Economic Development Unit. One of the unit s objectives is to improve access to training, employment and increase the economic opportunities for Hounslow residents and businesses. The unit has extensive experience and expertise in delivering and monitoring employment and training schemes and business support, and is an active partner in a wide ranging network of organisations working to advance employment, training and entrepreneurial support initiatives. Contributions 7.4 Childcare Facilities Lack of childcare facilities can be a barrier to parents seeking to obtain access to employment. The size of any new workplace nursery should be proportional to the employment generated at that workplace. In order to ensure long-term viability it should, however, cater for at least 25 places. Therefore, where appropriate, when new employment generating developments exceeding the threshold in section 1.7 are permitted, the Council will negotiate Planning Obligations to secure provision of either on, or off-site nursery facilities within the Borough. The costs of childcare are based on London Development Agency data. This indicates that each childcare place requires 46,000 of matched funding. Where no provision is made within schemes, a contribution towards child care will be sought. Where adequate childcare facilities will be or is provided on-site an obligation will not be sought. 7.5 Construction Training Schemes in excess of the thresholds set out in section 1.7 will contribute towards the cost of supporting construction training, through provision of on-site placements overseen by recognised construction training providers. An alternative is for the developer to undertake the equivalent training where the developer already runs approved training schemes, and agrees local reporting arrangements with the Council. A further alternative involves the extension of 58

schemes provided by registered social landlords in the affordable housing element of projects. During the development phase, the following options are available to developers: i. the developer may provide a Workplace Coordinator (WPC) based within the company and arrange the required on-site placements; ii. the developer may make a payment to the council of the equivalent cost to provide a WPC that the council will employ; iii. where a development does not warrant a full-time WPC a proportionate payment will be sought by the council that will be used with other developer payments to fund WPCs and other employment and enterprise initiatives directly related to the construction jobs available in the development phase of these schemes. iv. The undertaking to provide a WPC to provide paid industrial placements on-site will be monitored. The recruitment of trainees, risk assessments and off-site training and support costs would be provided by a Council approved Construction Apprentice training organisation. 7.6 Job Brokerage and Training In order to maximise employment opportunities for local people who need work, the Council will secure planning obligations relating to job-brokerage and skills training. These obligations will be utilized for the recruitment and development of skills and career paths of local people. This reduces travel to work distance, increases local household income, skill levels and career opportunities and helps community cohesions. The contribution will be related to the number of jobs created by the development. It covers job-brokerage (i.e. the finding and matching of local skills to candidates and vacancies) and skills training. The programme should be approved in advance by the Council and be additional to such training and recruitment as would normally be undertaken. It should include, for example, the additional costs of recruiting candidates through local community organizations, providing extra basic skills or customized training for local candidates who do not initially meet the recruitment criteria. There are a number of experienced local providers of skills training and industry specific training and the Council s Economic Development Unit can advise on these issues. 59

The Council, through joint working with partners can achieve economies of scale, for example by providing training to a group through partner organisations. The formula employed takes account of the likely number of jobs created (employment density), and of these the target number of jobs for local residents, based on census data. Of the target number of jobs, a proportion will require training and assistance to access the jobs being created. The contribution per job created by the development, towards general training and job brokerage is 2500 7.7 Construction Training Construction training presents a particular challenge. Local providers report difficulties in finding the Industry placements for their trainees that are essential for site experience and accreditation. Contractors are often unwilling to take on a trainee and individual contracts seldom last long enough or provide sufficient continuity of the type of work for a full craft apprenticeship. However, local schemes exist that employ a pool of trainees who can be placed on different sites and with different contractors for short periods of time, therefore the developer is expected to make adequate provision for the placing of construction apprentices on site for such time as can provide the trainees with useful industry experience as part of a structured training programme. Costs met from the developer s contribution would include those additional to the training costs already provided by Government funding, such as Workplace co-ordination, trainee travel etc. They would not include trainee wages for productive on-site work which contractors should be expected to meet from the contract sum and which should form part of the conditions of contract. The cost of placing one trainee on one year s industrial work experience on a number of different sites is 2,500. This figure is applied for construction training for every 1m worth of construction costs, above the threshold set out in section 1.7, and should be accompanied the necessary information set out in section 7.5. 60

SPD Transport 8.1 Introduction In common with other outer London boroughs, traffic levels in the London Borough of Hounslow have increased over the last decade, leading to increased congestion and a range of associated problems such as increased air pollution, road accidents, noise impacts and visual intrusion, and delays to deliveries and access to employment and industry. These environmental, social, and economic impacts are having increasingly severe impacts on quality of life for Borough residents. New developments generate additional trips to and from the site, which can add pressure to roads, pedestrian and cycle routes, and public transport facilities, and will lead to additional problems if measures are not taken to address the impact of new developments. The Council will therefore seek to ensure that the transport impacts of new developments are mitigated or compensated for. The following sections refer to those impacts which require local mitigation. It does not apply to developments which may require additional strategic infrastructure requirement which will involve TfL. Such significant development proposals may require additional contributions for strategic purposes. 8.2 Transport Contribution Formula The contribution sought for sustainable transport will be consistently applied and may be amended or updated through revisions to the SPD depending on the practical implementation of the methodology. It should be noted that the figure has been set at a level which will contribute towards sustainable transport needs within the borough, in recognition of the additional impact that new development will have on transport facilities within the borough. However, such contributions may not be sufficient to fully fund all the required schemes. Reference should be made to the Local Implementation Plan and the Council s Local Development Documents, which set out the priorities for transport development within the Borough, as well as funding sources. These requirements are based on the following trip generation factor which has been established through the TRAVL database and is based on comparative levels of trips generated for different land uses. Where better data are available related directly to the development proposal TIA (Transport Impact Assessment), and are agreed by the LPA, the specific figures will take precedence over these generic figures. The TRAVL database contains surveys of over three hundred sites across the capital. It is a multi-modal trip generation database specifically for London. 61

developed by the London Research Centre. The sites identified reflect urban development trends across the city and are chosen to ensure that TRAVL's coverage remains comprehensive. The level of contribution is weighted to reflect different levels of public transport accessibility within the Borough; so as to encourage high trip attracting/ generating uses to locate within accessible locations. In this way, the level of contribution relates to both the size and nature of the proposed development, as well as reflecting its accessibility to public transport. Contributions may be pooled and their spend on public transport infrastructure will involve public transport providers (TfL). Contribution per trip: Contribution per trip (per residential unit or per 100m2 GFA) PTAL 6-5 PTAL 4-2 PTAL 1-0 400 500 600 Trip generation factor: Use Trip Generation Factor Residential (Studio,1, and 2 bedrooms) (per unit) 2 Residential (3+ bedrooms) (per unit) 3 Nursery (per 100m2 GFA) 4 Primary School (per 100m2 GFA) 2 Secondary School (per 100m2 GFA) 2 College (per 100m2 GFA) 2 Hospital (per 100m2 GFA) 1.5 GP Surgery (per 100m2 GFA) 4 Hotel (per 100m2 GFA) 1.5 Food and Drink A3 (per 100m2 GFA) 7.5 Food and Drink A4 (per 100m2 GFA) 7 Food and Drink A5 (per 100m2 GFA) 9 Sports and Leisure (per 100m2 GFA) 2 B1 (Business) (per 100m2 GFA) 1.5 B2 (Industry) (per 100m2 GFA) 0.8 B8 (Warehousing) (per 100m2 GFA) 0.8 A1 (Retail) (per 100m2 GFA) 7.5 A2 (Financial and Professional Services) (per 4 62

100m2 GFA) The contribution to be sought is calculated per residential unit, or per 100m2 for other land uses, as the cost per trip, multiplied by the trip generation factor, and is summarised as follows: Residential Contributions PTAL 6-5 PTAL 4-2 PTAL 1-0 1-2 bed units 800 1000 1200 3+ bed units 1200 1500 1800 Other Contributions Per 100 sq m PTAL 6-5 PTAL 4-2 PTAL 1-0 GFA Nursery 1600 2000 2400 Primary 800 1000 1200 School Secondary 800 1000 1200 School College 800 1000 1200 Hospital 600 750 900 GP Surgery 1600 2000 2400 Hotel 600 750 900 Food and 3000 3750 4500 Drink A3 Food and 2800 3500 4200 Drink A4 Food and 3600 4500 5400 Drink A5 Sport and 800 1000 1200 Leisure B1 Business 600 750 900 B2 Industry 320 400 480 B8 320 400 480 Warehousing A1 (retail) 3000 3750 4500 A2 (financial & professional services) 1600 2000 2400 63

8.3 Travel Plans Travel Plans (which are sometimes known as Green Travel Plans) are designed to manage the transport impact of a development in a more efficient and environmentally-friendly way. They should aim to deliver sustainable transport objectives as set out in PPG13. They focus on reducing the number of car trips made by employees or other users of the development. Travel plans submitted in conjunction with a planning application can be made binding through the use of a planning obligation. The format and content of travel plans vary and the measures incorporated into a plan will differ depending on the nature of the development to which the travel plan relates. A Travel Plan should contain annual targets for car reduction and include management arrangements to monitor car use and travel patterns by employees/residents/users with incentives and information to encourage such users to reduce car use. Transport for London have prepared Guidance for Workplace Travel Planning for Development and Guidance for residential travel planning in London which is Transport for London s recommended standard referred to in the London Plan. The Guidance offers the most appropriate advice in preparing and implementing development related Travel Plans in the planning process in London covering workplace and leisure. The guidance identifies when and where a Travel Plan is required; distinguishes the difference between Transport Assessments (TAs), Travel Plans and their inter-relationships with the development site; and explains the Travel Plan process from preparing the planning application to implementation. This guidance will be referred to in securing Travel Plans through developments within the Borough. 64