Councils to build 2,000 new homes

| September 9, 2009
”Councils

Two thousand new council houses are to be built across England in the biggest expansion of its kind in 20 years.

According to a BBC report, ministers have announced details of projects in 47 areas; 12 in the Midlands, seven in the North West; six in London; six in Yorkshire and Humber; six in the South West; five in the North East; four in the South East and one in eastern England.

Council house building fell into a decline in the 1990s, when local authorities were no longer able to keep rental income or the money raised from right-to-buy purchasers, being required instead to hand the cash over to the Treasury.

Over several years the role of Councils in providing new social housing passed to housing associations, which provided 40,000 new properties last year.

However, recently introduced changes mean that Councils can keep both rent and right-to-buy receipts to fund new housing projects.

Housing minister John Healey says he sees the new projects as a boost for affordable housing, which could also create over 5,000 jobs in the UK’s beleaguered construction industry.

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