Money will be reallocated to other Local Authorities New research today reveals that the four local authorities in the Bristol area have cancelled plans to build homes that would have netted their communities almost £340 million. The Coalition Government has reversed the previous administration’s top-down housing targets and instead is putting in place financial incentives for house-building. 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.” For media enquiries, or to arrange an interview, please contact Steve Turner on 020 7960 1606 / 07919 307 760 or steve.turner@hbf.co.uk Notes to Editors: 1. The Home Builders Federation (HBF) is the representative body of the home building industry in England and Wales. The HBF’s 300 member firms account for some 80% of all new homes built in England and Wales in any one year, and include companies of all sizes, ranging from multi-national, household names through regionally based businesses to small local companies: www.hbf.co.uk 2. Please click here to view Key Facts Document for more detail
