London Councils propose “build now pay later” policy for public land
Mon 23rd September 2013, 12:02 pm
London Councils has proposed a policy allowing for developers to defer 25 per cent of payments for public land until after construction is complete.
The public sector is looking to generate around £3.5 billion in receipts for surplus public land. Acccording to the plans, developers would be allowed to defer a quarter of payments, amounting to £875 million.
London Councils suggest this policy would lead to an extra 5,000 homes in the capital.
The discussion paper was published ahead of party conference season in order to promote debate on how to tackle the housing shortage in London.
Other ideas include:
- Lifting the housing borrowing cap;
- Increasing investment in the rental sector;
- Promoting sustainable development near London’s rail and underground network.