MUTUAL HOME OWNERSHIP AND AFFORDABLE HOUSING

That this House notes the proposals in the Government's recent announcement, Extending Home Ownership; expresses concern that the provision of this particular form of subsidy to first-time buyers will not ensure that these properties will remain affordable in the long term; requests that the Chancellor and the Deputy Prime Minister consider the benefits of the Mutual Home Ownership model as devised by CDS co-operatives and supported by the Co-operative Movement which protects housing land from property speculation through the use of the US-style community land trusts, in order to provide much needed affordable housing for key workers and others on average earnings in high cost areas; recognises that this form of mutual ownership will ensure that the housing remains affordable in perpetuity at the same time as enabling the residents to build up a share in the equity; and urges the Government to support CDS co-operatives in establishing demonstration projects to provide evidence of the value of Mutual Home Ownership as an innovative solution to market failure in this vital part of the housing sector.