A revised version of Planning Policy Statement 3: Housing has been published including a new wider definition of affordable housing in Annex B. Affordable housing now includes social rented, affordable rented and intermediate housing.
Affordable rented housing is a new concept. It is let by registered providers of social housing to those eligible for social rented housing but the rent may be up to eighty per cent of the local market rent (including service charges). Local market rents are calculated using the RICS approved valuation methods and the Tenant Services Authority has issued an explanatory note on them. The tenancies may be fixed term or periodic.