More than £16m is set to be spent on new affordable homes in South Holland over the next five years.
A report to go before a special meeting of South Holland District Council’s cabinet on Monday outlines the proposals.
The draft General Fund and Housing Revenue Account is on the agenda along with the medium term plan and capital strategy.
The proposals will be subject to review by the public and a scrutiny committee before the cabinet makes recommendations to the full council in setting next year’s budget.
“A re-phased Affordable Housing Programme has been established to replace units sold through increased right to buy sales.
“The programme will be delivered through new build and the purchase of affordable housing units. A total of £16.5m has been allocated,” says the report.
The money will be used for 34 homes at Small Drove, Weston; development of 20 at Severn Road, Spalding; the acquisition of 18 units from developers ‘to address key areas of housing need.’ There will almost be £2.5m annually for 18 to 20 units.
District council leader Lord Porter of Spalding said: “The Lifting of the Housing Revenue Account (Housing Revenue Account) borrowing cap is the most significant housing announcement since the introduction of the right to buy.
“It will allow all councils that still have council houses (we are one of them) to borrow against them to build new council houses, providing the rents cover the costs.
This will allow us to provide more safe, secure and affordable homes for the people who live in South Holland and who can’t get onto the housing ownership ladder.
“I am personally pleased that Theresa May has agreed to do this as it’s something that I have been campaigning on since first getting elected in 2001.”
The document also outlines a potential 2.9 per cent increase for Council Tax bills, taking a Band D to £174.78, a rise of £4.95 from the district council.
The final Council Tax bill will also include the requirements of the county council, any parish precept and police.
The report also suggests a £500,000 annual addition to the capital programme for the five year period to fund capita assets.
The final figures for the budget are not absolutely certain as the government has yet to announce its local government finance settlement for 2019/20.
It had been expected on December 6 but was delayed and, as yet, no new date has been announced.
The Council Tax base for next year is put at 27,712 properties – an increase of 410 over this tax year.
