Michael Oxley

The aims and methods of comparative housing research

This article argues the case for a reconsideration of the aims and methods of comparative housing research and advocates more attention to scientific inquiry rather than accepting descriptive information as a satisfactory end product. More genuine comparative analysis is required. The examination of similarities and differences in housing systems and of the relationships between policy objectives and instruments should be done by reasoned hypothesis testing rather than the application of terminology posing as explanation. This work will involve, it is argued, more attention to the examination of data. There is a need to consider the nature and consistency of existing data and to create new data. The requirements of more basic information on housing gathered from a range of countries, improved data and taxonomies, plus hypothesis generation and testing points to the need for researchers typified as explorers, empiricists, theorists, and scientists.

The Gain from the Planning-Gain Supplement: A Consideration of the Proposal for a New Tax to Boost Housing Supply in the UK

ABSTRACT This paper reviews the proposal for a new tax on the ‘windfall gains’ arising from the granting of planning permission for residential development in the UK. The theoretical foundations in the theory of economic rent are discussed and the practical problems of applying such a tax, in the form of a ‘Planning-gain Supplement’, are explored. The relationship between any new explicit taxation and implicit taxation through planning agreements is examined. The reactions to this proposal, which come from the Barker Review of Housing Supply, are considered. It is shown that much of the criticism is about implementation difficulties rather than matters of principle. The problem of measuring the site-specific value of economic rent is discussed and the resolution is seen to be in viability appraisals that determine the changes in residual value that are a consequence of planning permission. The data requirements for such an approach are set out. It is argued that a detailed taxation proposal will need to include clear relationships between other demands on the development process, especially the provision of affordable housing through planning.

Housing investment and social housing: European comparisons

Abstract The paper examines investment in social rented housing in France, Germany, the Netherlands and the UK. Although various indicators of investment are considered, social dwelling construction data are seen to be the only comparative measure available. The institutional arrangements in each country are considered together with the financing routes. An overview of the different policy approaches is provided. Explanations for differences in social rented housing investment rates are considered and the prospects for the future examined. It is argued that while the division between private and social rented housing may become increasingly blurred, the objectives of social housing can only be achieved with redistributive mechanisms.

Private and social rented housing in Europe: Distinctions, comparisons and resource allocation 1

The difficulties of clearly distinguishing private and social rented housing in a western European context are set out. The issues are illustrated by information for Germany and France. It is argued that comparative housing tenure data can be misleading and that distinctions in terms of ownership are of less significance for resource allocation than the specifics of the relationship between the state and the housing market. The significant production, distribution, pricing, subsidy and profit issues as they relate to rented housing are identified. The policy implications of an approach which is resource allocation rather than tenure orientated is outlined.

Competition and Social Rented Housing

Abstract This paper aims to make a contribution to the debate about the meaning of competition as applied to social housing and the usefulness of a competitive paradigm as a comparative analytical tool. Social housing providers have been asked to become more competitive and more market orientated in Europe. But what exactly do these terms mean and what are the defining features of competitiveness? And how can concepts of competition be applied to social housing, given that social housing is not allocated by price and market demand? Starting in mainstream economic analysis the meaning of competition and governments’ roles in relation to competition are examined. The paper then applies key features of competition to social housing in order to explore the meaning of competition within social housing and between social housing and market housing. It then considers competition as a framework for examining the performance of social housing systems and the relationships between social and market rental housing. The possible implications of (more) competition within social housing and between social housing and market housing are discussed. Finally, the paper suggests that the competitive paradigm can be useful in comparative analysis because it can potentially supply a graded taxonomy that identifies and compares degrees of competitiveness.

How Can Competition in Social Rental Housing in England and the Netherlands be Measured

Abstract In an attempt to promote efficiency and consumer choice, many governments in Europe have in recent years required social housing organisations to be more market-orientated and competitive. Competition, however, is being discussed and implemented without any detailed examination of what is meant by the term ‘competition’ outside a conventional ‘market’, as is the case in social housing. It is not clear what exactly is meant by competition and this paper therefore focuses on the question of how competition can be operationalised and how it can be measured in practice. This paper concentrates on social housing in England and the Netherlands: two countries where competition in social housing is an issue. These two countries also have different social housing models. For both countries, we build on an evaluative framework based on the economic concepts of rivalry, risk and choice and then analyse the data to establish whether competition can be measured in a convincing way.

Implicit Land Taxation and Affordable Housing Provision in England

The paper considers the proposal in England that a continuing requirement for residential developers to contribute directly to the supply of affordable housing in return for planning permission should operate alongside a new tax on land value increases due to planning permission. The paper asks whether it is right in principle for affordable housing to be supported by the implicit taxation of development. It is argued that in terms of transparency, clarity, and certainty explicit taxation is to be preferred to implicit taxation. It is thus suggested that once the new explicit tax is in place developers should no longer be routinely required to pay an additional implicit affordable housing tax. Affordable housing should, it is argued, be supported on the basis of need, not the resources available from the development process. The link between the provision of affordable housing and planning obligations should be broken.

Universalistic, Particularistic and Middle Way Approaches to Comparing the Private Rental Sector

Abstract The paper will argue that the meaning and definition of private renting varies from country to country, and this presents a series of challenges for comparative research. It will demonstrate a lack of equivalence between ‘private rented housing sectors’ in western Europe and show that this arises from variations in definitions, property rights, the role of the tenure in relation to other tenures, and differences in the characteristics of both landlords and tenants. It will show that an argument can be made that the private rental sector is a different phenomenon in different countries but that comparisons are still valuable. It will argue that between the extremes of universalism, that emphasise similarities, and particularism that emphasises differences, middle way approaches that consider contexts, apply commensurability and apply theory that is fit for purpose all have strong methodological advantages. The argument will be expanded by reference to the authors’ work on applying the concept of a competitive gap between market and social renting in six European countries.

Substitutability between Social and Market Renting in Four European Countries

Abstract This paper will set out the concept of a ‘gap’ between the social rented and market rented housing sector. This will be examined with respect to one aspect of competition between the two sectors in England, France, the Netherlands and Germany: substitutability. The analysis will involve an examination of the extent to which tenants can choose between the two sectors. The price-quality bundles of housing services as expressed by the characteristics of the accommodation, the property rights of the tenants, the allocation system and the housing allowances in the different countries will be compared. Competition measured in this way seems to be rather larger than smaller in the Netherlands and Germany and rather small in England. Frances intermediate sector partly closes the gap between both rental tenures.

Competition and Social Housing in Europe

This article discusses the application of the concept of competition to social housing in Europe. A distinction is made between competition amongst social housing suppliers and between social housing organisations and commercial suppliers of housing. The competitiveness of social housing is examined using evidence mainly from England and the Netherlands.