Planning Policy Statement 3: Housing (PPS3) was first published in November 2006 and sets out the government’s national planning policies on housing.

Local planning authorities (LPAs) and the Planning Inspectorate are expected to have regard to the policies in PPS3 in the preparation of development plans and, where relevant, to take PPS3 into account, as a material consideration, when determining planning applications.

In November 2010, the government announced its plans for social housing reform, which included the introduction of an “affordable rent” tenancy. Registered providers of social housing will be able to let properties, for a tenancy of between two years to a lifetime, at an affordable rent of up to 80% of the local market rent.

In February 2011, the government published the framework for its affordable homes programme for 2011-15.

As a result of the introduction of this new product, the definition of affordable housing in Annex B of PPS3 has been amended to include the concept of “affordable rented housing”. This change will mean that affordable rent can be regarded by LPAs as affordable housing for planning purposes.

Practical Law Update 13.06.2011