Money for affordable housing goes unspent

Some councils have been criticised for not spending contributions made by developers for affordable housing. Find out more.

You may want to ask your council if there are un-allocated funds (section 106 contributions) for affordable housing from developers in your area?

 

A template press release from LDHQ for those councils affected can be found below:.

 

[INSERT SUM OF MONEY] unspent by [INSERT COUNCIL] despite housing crisis

[INSERT SUM OF MONEY] has been left to gather dust in [INSERT COUNCIL] coffers instead of easing the local housing crisis, it has been revealed.

The money has been secured by [INSERT COUNCIL] through Section 106 Agreements, an aspect of planning legislation.

The agreement allows some councils to obtain money from developers in return for granting planning permission for developments.

The money can be spent on improving local areas, such as investing in parks, community centres, and in some cases affordable housing.

At the upcoming local elections on 3rd May, the [AREA] Liberal Democrats have committed to deliver more affordable homes and to improve the condition of council housing.

Liberal Democrat Spokesperson, [INSERT NAME], said:

“It is extremely concerning that money that could be vital in tackling the housing crisis has not yet been spent by [INSERT COUNCIL].

“Hording cash whilst unacceptable numbers of people and families are on council waiting lists is simply unacceptable.

“With the local election in just a couple of weeks time, people have a real chance to force [INSERT COUNCIL] to use this money to ease the housing crisis. [IF YOU HAVE ELECTIONS USE THE FOLLOWING SENTENCE] A vote for the Liberal Democrats in [AREA] is a vote for hard working councillors who will prioritise building much needed affordable homes.”

Liberal Democrat Housing Spokesperson, Wera Hobhouse MP, added:

“Councils are letting their local communities down. It is incomprehensible that there are millions of pounds sitting unspent in local councils to deliver more affordable houses while we are facing a housing crisis.

“But 106 monies are also there to spend on improving our local areas and mitigate against the impact of new development. It is shocking that council seem to lack either the will or the imagination to make a positive difference to our communities. They need to urgently get their act together and councillors of all political persuasion need to hold their executives to account.”

ENDS

Notes for editors:

The data has been revealed by HuffPost UK through a Freedom of Information request. Every council in England and Wales was asked to reveal how much they received through Section 106 Agreements since 2013/14, and how if was committed.

The data reveals £375 million is sitting unspent in council bank accounts across England and Wales. The 13 worst offenders are:

  • London Borough of Southwark: £52.6 million (all committed)
  • London Borough of Camden (since 1999): £37.6 million (£5 million uncommitted)
  • Royal Borough of Kensington & Chelsea: £21.4 million (all uncommitted)
  • London Borough of Wandsworth: £20 million (all committed)
  • London Borough of Hounslow: £16.9 million (all uncommitted)
  • London Borough of Lewisham: £16.3 million (£6 million uncommitted)
  • London Borough of Newham: £12.4 million (all uncommitted)
  • London Borough of Hackney: £9.6 million (£3.6 million uncommitted)
  • London Borough of Greenwich: £5.1 million (all uncommitted)
  • Wokingham Council: £20 million (£11 million uncommitted)
  • Horsham District Council: £6.9 million (£5.7 million uncommitted)
  • Middlesbrough Borough Council: £4.5 million (£3.4 million uncommitted)
  • South Ribble Borough Council: £3.9 million (£3.5 million uncommitted)

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