Shropshire Star

Affordable rental housing for Newport

Newport will have 33 new affordable rental properties after councillors approved plans for the homes.

Published

Telford & Wrekin Council's planning committee had been asked to consider an application from NuPlace to build the homes at Springfield Industrial Estate on Station road.

Committee member Councillor Peter Scott, hailed the plans as great news for Newport.

He said: "I think this is pretty much a good news story really.

"We need this affordable housing in town and we need this affordable rental housing just as importantly."

He added: "I know the people of Newport welcome this in general and I certainly know young people do."

Nu Place is Telford & Wrekin council company and while councillors welcomed the creation of the housing Councillor Nicola Lowery did question what the level of deficit in the funding of the scheme was.

A report prepared by planning officer Vijay Kaul stated that some of the money used to fund the scheme will come from other 106 agreements on other planning applications in Newport.

The report states: "An accepted profit allowance for a wholly affordable housing scheme is six per cent of gross development value.

"Taking into account this scenario, to achieve a six per cent profit margin on a policy compliant scheme would result in a significant deficit. in the report the applicant has suggested using the 106 contributions received from other developments in Newport where off-site contributions have been made in lieu of on-site provision. The funding is only available to support the delivery of affordable housing sites in Newport. Whether or not this developer is allocated funding is a matter for the assistant director governance procurement & commissioning to determine in consultation with the chair of the planning committee."

The application was unanimously passed.