In a keynote speech on housing policy on Tuesday, David Cameron pledged to deliver 200,000 new starter homes by 2020 if the Conservatives win the general election in May. This would double the Coalition’s existing commitment of 100,000 starter homes.

Of particular interest to the property industry will be the way in which the discounted homes are to be paid for. In effect, developers will be able to ‘opt out’ of Section 106 and CIL if they provide a 20 per cent discount for the under-40s. While Cameron refers to this as cutting out ‘red tape’, local authorities will undoubtedly be apprehensive over what this will mean for the funding of new community facilities, infrastructure and affordable housing.

Also of significance is the fact that the discount would only apply to housing on brownfield land. David Cameron yesterday sought to reaffirm his party’s commitment to the Green Belt, saying: “When it comes to Green Belt, I have been clear. The line remains scored in the sand – that land is precious. I am a country man and I love our countryside.”

Cameron also claimed that the Conservatives would be building 200,000 homes a year by 2017 – a move to upstage the Labour leader Ed Miliband. Labour has placed housing at the centre of its ‘cost of living crisis’ narrative, with a key plank of its election strategy being the delivery of 200,000 new homes, but by 2020 rather than 2017.

As with all policy commitments in the run-up to May, it is worth noting that we will likely be seeing another hung parliament. This will mean that manifesto commitments will be up for negotiation if a new coalition government is formed.

Alun Hayes, Director at Iceni Engagement, said:

“It is an admirable aim to make it easier for people to buy their own homes, and one all political parties share in some capacity.

“Yet while the Prime Minister’s proposals may make more housing available for people trying to get on the housing ladder, this would seem to be at the expense of new community facilities and investment in vital infrastructure, including schools, transport and public spaces, as well as new affordable homes, all of which are a vital cornerstone of our communities.

“Moreover, the devil will be in the detail. Will the age profile of the applicant override other considerations, such as length of time on a council waiting list for a shared ownership property, salary threshold, or single versus joint/family application? Will the housing needs of a 41 year old be filed under 'not applicable'?.  Look out for alternative ideas from the collective opposition, and don't be surprised to see policies such as these refined before the Conservative manifesto is published".