Council agrees to set up housing company

Councillors have agreed to the principle of the council establishing its own housing company in a move which could see more affordable properties built.

The company, which would be primarily tasked with delivering affordable housing, would also provide an income for the council.

A detailed business case still needs to be agreed by the council before the company can be established

Cllr Mark Cargill, who first put forward the idea for a housing company to the council, said: “I’ve been supporting this particular scheme for many, many years now, as a minimum I hope it can influence the housing market in the way we want it to be. I think it could potentially have a big impact on the type of housing we want for our residents. Please support this because I think it is a vital scheme for us.”

By setting up its own separate company the council would avoid some of the high costs it would incur if it chose to directly build affordable houses itself.

Restrictions under the Localism Act 2011 also stipulate that councils can only carry out work for commercial purposes if it does so through a company.

Councillors voted unanimously to approve the proposal last week.