Money will be reallocated to other Local Authorities New research today reveals that Leeds City Council has cancelled plans to build homes that would have netted their community more than £255million. The Coalition Government has reversed the previous administration’s top-down housing targets and instead is putting in place financial incentives for house-building. Leeds City Council has reacted to the removal of central targets by scrapping plans for nearly 33,000 homes, but in doing so has cost its area an estimated £255million 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 there are more than 24,000 families languishing on the social housing waiting lists in the Leeds area, and first time buyers need a deposit of around £35,000 to buy the average home. The Home-Builders Federation, which 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, £255million is more than more than twice what the council recently spent on the rebuilding or major refurbishment of 14 secondary schools.” 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: 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 Click here to view the Leeds Key Facts Document for more detail
