Purpose

Commuted Sums

Decision

Allocation of commuted sums

Reasons for the decision

South Norfolk Council has two affordable housing commuted sum payments that were received in lieu of onsite provision of affordable housing at an Orchard Homes development on Land at Sycamore Farm, Pulham Market (Planning Ref:2018/0598) and a large phased development in South Wymondham (Planning Ref: 2011/0505).  Two payments were received from South Wymondham: one from Vistry and one from Taylor Wimpey.

Combined, the commuted sums total c£46,000; expire between June 2026 and July 2027; and must be used for the provision of affordable housing in South Norfolk. 

All daily accrued interest must also follow the original capital receipt so will be added to the sum total.

Approx. £20,000 from 2018/0598 expires in October 2026 and is for the “Provision of Affordable housing which meets needs of South Norfolk”

The combined remaining balance of approx. £26,000 from Ref 2011/0505 expire in June 2026 and July 2027 and are to be used for the “Provision of Affordable housing within the District of South Norfolk”.

Given the limited funds available also limits the appetite of the RPs active in South Norfolk to apply for the use of the funds despite several attempts by the Enabling team to get RPs to engage.

Regardless, a suitable use for the funds must be found to avoid a repayment (plus interest) back to the original developer. 

The Enabling team discussed alternative suitable uses which included offering the funds to an RP to support tenure conversion from AHO to ART on any suitable S106 site.

The team concluded the only real viable site was the 100% affordable housing scheme being developed by Orbit HA at Spirketts Lane, Harleston (Planning ref: 2023/3610)

To be known as “Harolds Gate”, this 100% affordable home development will comprise 162 affordable homes to include a mix of AHO and ART homes.  

Subject to both parties entering into a grant funding agreement, SNC will grant fund £46,000 (+ interest) to Orbit to deliver a 2 bed 4 person house for affordable rent in lieu of a shared ownership property.  The property type and plot number has been proposed by Orbit as the one that best meets their own internal requirements including financial viability and marketing of the other shared ownership homes.  SNC has agreed to the proposal, subject to receiving delegated approval to use the funds for this purpose. 

Alternative options considered

In January 2026, a request to all 13nr RPs active in the South Norfolk district for suitable projects to fund using the remaining 2026 and sole 2027 affordable housing commuted sums was circulated via e-mail.

No proposals were received. 

The Enabling team at SNC approached Orbit with this opportunity due to a lack of other suitable projects to fund: delivering additional homes for affordable rent is one of the Council’s top priorities.  This project is deliverable within timescales and budget.