Demand for Council Houses is on the increase according to a survey conducted by the Local Governmemt Association. More than eight out of ten councils are experiencing or anticipate an increase in demand for social housing because of the recession leasding to rises in repossessions, falls in mortgage lending and house prices that remain out of reach for many people on an average salary.
Proposals to address the problem include Councils should be allowed to keep all the rent from council housing and right-to-buy (The Government holds on to £300 million of money that council tenants pay to councils in rent). Councils should also be able to borrow on the open market in the same way that Housing Associations have the freedom to do so to enable them to start major new programs of council house building and improvements. There should also be extra public investment in infrastructure projects to pave the way for private development.
Social housing is becoming more and more of a priority in the ecconomic recession because fewer and fewer people can afford to get onto the property ladder.
Of course Hartlepool Council gave away its Council Houses and so doesn't have anything to worry about!
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