The Prime Minister is giving councils power to seize more empty homes and bring them back into use.
Andy Burnham says his government will reform Empty Dwelling Management Orders (EDMOs).
EDMOs allow councils to take over the management of long-term empty homes and return them to occupation for up to seven years while ownership remains with the property owner.
The changes will reduce the period a property must be empty before it becomes eligible for an EDMO from two years to just six months, allowing councils to act sooner where homes have been left vacant and preventing properties from falling into serious disrepair.
A statement from the government says: “The reforms will also streamline the application process by removing evidential requirements relating to issues such as anti-social behaviour or community support for intervention, making it simpler for local authorities to seek an EDMO through the Residential Property Tribunal.”
The government is also exploring further changes to strengthen the EDMO system and support councils to use the powers more effectively – but no details of these changes have been released today.
The announcement comes as the Labour conference takes place in Liverpool this week.
In another policy initiative at the conference, the Prime Minister revealed a new equity loan scheme for first time buyers – called Your First Home.
It will operate only in England and is aimed at first time buyers.
This is expected to support 2.5% deposits, backed by 20% government-backed equity loans, for prospective first-time buyers purchasing a new-build property from a developer signed up to the scheme.
People will be able to access equity loans with an initial interest free period, meaning that those who use the scheme could save hundreds of pounds per month compared to a 95% mortgage.
A statement from the government says: “The Your First Home scheme will help tackle the deposit barrier for first-time buyers who would be unable to afford their first home otherwise, building on the government’s existing work to help more young people and families onto the housing ladder.
“The scheme will also set a household income cap with local property price caps to further ensure support is targeted at those who need it, the detail of which will be set out at Budget.”
The government claims that with the new build housing market currently facing challenging headwinds driven by international economic pressures and rising construction costs, the scheme will act as a stimulus to support the market and boost housing supply.
Developers will be expected to make a contribution when signing up to the scheme to help cover costs.
Further details, including costs and implementation timelines, will be announced by Chancellor John Healey at the Budget next month