Budget to create more homes on the high street

Empty high street shops could be turned into new homes following an announcement in the Chancellor, Philip Hammond’s Autumn Budget 2018.

With the fortunes of the British high street rarely out of the news, Mr Hammond stressed its importance to British life. “Embedded in the fabric of our great cities, towns, and villages, the high street lies at the heart of many communities,” he said. “It is under pressure as never before as Britain adopts online shopping with greater alacrity than any other large economy. So, if Britain’s high streets are to remain at the centre of our community life, they will need to adapt.”

Creating residential properties out of shops and other commercial buildings would potentially increase the supply of homes as well as high street footfall. Mr Hammond announced a £675m Future High Street fund to support councils in their plans to transform town centres and invest in improvements.

He also pledged consultation on simplifying the process for converting commercial property into homes. The construction industry has welcomed the move as a positive step in dealing with the housing crisis, claiming that using the wasted space, above shops alone, could create up to 400,000 new homes.

The Chancellor also acknowledged the pressures that business rates place on smaller traders and announced that retailers in England, with a rateable value of £51,000 or less, will see their business rates cut by a third for the next two years – an annual saving of up to £8,000 for 90% of independent shops, pubs, restaurants and cafes.

Read more about the Autumn Budget 2018, and its impact on the housing market, on the BBC website