"New Foundations – unlocking the potential for affordable homes” , which was launched on 27 January 2009 at the House of Commons by Housing Minister Margaret Beckett, proposes using Community Land Trusts to create permanently affordable intermediate market homes as a way of overcoming the problems of the credit crunch. 

The model separates the cost of land from the purchase price of property and ensures affordability through flexible monthly payments that are based on an affordable percentage of income. 

The report was written by the Executive Director of CDS Co-operatives David Rodgers.  He believes the time is right for a fresh approach to housing. 

“The post financial crisis landscape presents us with new challenges in affordable housing supply.  Those challenges demand new solutions and those solutions should be based on co-operative principles.” 

Co-operative Party General Secretary Michael Stephenson said the timing of the report was ideal.  “In the current economic climate, there has never been a time in which co-operative and mutual values are more important.  This publication sets out how Community Land Trusts can be used to develop an exciting new form of Mutual Home Ownership – exactly the sort of thinking that puts co-operative values at the heart of policy. 

“The Co-operative Party will be running a campaign on this approach over the coming months because we believe the credit crunch has made the supply of affordable housing one of the most important issues of social justice for our times.”