Bristol Councils reject £340million homes funding

Bristol City, Bath & North-East Somerset, North Somerset and South Gloucestershire Councils have reacted to the removal of central targets by scrapping plans for nearly 38,000 homes but in doing so have cost their areas an estimated £340 million in incentives at a time when budgets are being cut and funding restricted. This money will be given to other local authorities as part of a top-slicing of central government grant to local authorities.

Meanwhile in these areas there are more than 27,000 families languishing on the social housing waiting lists and to buy the average home first time buyers need a deposit of around £45,000.

The Home-Builders Federation who released the research is working with local authorities across the country to explain to them the consequences of not meeting the need for homes under the new system.

Stewart Baseley, Executive Chairman, said

“We’ve cautiously welcomed the Coalition’s plans: home-builders and communities do need to work together to build the homes our country needs, but it’s also vital that local people understand the financial consequences of their council’s actions”

“Central Government is going to be cutting grant to local authorities and services could suffer – this money from the new incentive is crucial to the local area. To put it in context, £340million is more than 4 times the amount that Bristol City spends on children’s services each year.”

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