Real Estate : New housing and planning delivery grant to Sussex Farmland

As the report came that Ministers have formally begun consultations on a new housing and planning delivery grant (HPDG) in line with the recommendations suggested by the Barker review of housing supply the prices seem to be roaring in Sussex Farmland.



The news came when Farmland in Sussex are being sold by different Land Investment Companies and the government has already made it clear that this funding would be in addition to local infrastructure investment, give local authorities the flexibility to invest in their area and allow them to keep additional council tax receipts for new homes. Sussex Farmland is known for its closeness to nature and old buildings.



Seeing this the prices of the Sussex Farmlands are set to go higher and this leaves the investors with a dilemma of whether to invest in more plots of land, sell it or hold the piece of land so as to gain maximum.



A consultation document just published by the Department for Communities and Local Government (DCLG) said the measure should:



- Strengthen the incentive for local authorities to respond to local housing pressures.

- Support increased housing delivery to meet local needs.

- Encourage local authorities to become very actively involved in the delivery of new housing.

- Return the benefits of growth to the community through new funding streams.

- Incentivise efficient and effective planning procedures.



The government's aim is that the housing incentive element would be awarded to local planning authorities and urban development corporations (UDCs) and paid starting in 2008 when the existing PDG regime is due to end.