I hope that, like me, you have had an enjoyable Christmas
and New Year. It was great to be able to spend time at home and catch up with
family and friends.
I want to start by wishing everyone in Mid-Cornwall a very
happy, healthy and prosperous 2017.
Just before Christmas the Government made an important
announcement confirming that money will be made available to specifically
address the challenges Cornwall faces in providing housing that is affordable
to local people.
Over many years now we have watched as house prices in
Cornwall have risen and are now beyond the reach of most local people on
average incomes. Much of this rise locally has been fuelled by people buying up
our local housing stock for holiday homes or investment properties. Many people
have been calling for some action for a long time but it is good to at last see
that this Government is acting to address this issue.
In the 2015 Autumn Statement the then Chancellor, George
Osborne, announced a new stamp duty levy on properties bought that were not for
the purchaser’s main residence. This includes all types of 2nd homes
– holiday homes, investment and buy to let properties. An additional 3% has
been charged on the purchase of all such properties since April last year. When
it was announced, the Chancellor stated that this money would be specifically
ring fenced to help to provide affordable housing in places such as Cornwall.
It was pleasing therefore to have confirmation last month
that the first tranche of money will now be made available with Cornwall being
allocated just over £5 million in the first round.
This money will be made available through Cornwall Council
to local schemes that seek to provide housing for local people at below market
values through schemes such as Community Land Trusts.
Some have argued that £5 million will not go very far. But
it has to be acknowledged that this is the first time any Government has taken
direct action to specifically address the housing challenges we face here in
Cornwall. After many years of talking I am delighted to be part of the
Government that is at last acting.
It is also important to recognise that this is a substantial
part of the total national pot of £60 million and is way beyond what we would
have normally expected to receive as a share of a national scheme but is
clearly a sign that the challenges we face here in Cornwall are recognised.
This is the first round of funding and there will be much
more to come in the years ahead. What is important now is that we spend this
money wisely and use it in conjunction with private sector funding to provide
as many homes for local people as possible.
Future funding will partly depend on how well this first
tranche of money is spent and so I will be doing all I can to make sure the
Council use it well. I will also be keen to work with any local people who wish
to develop Community Land Trust housing in mid-Cornwall.
