Your browser is no longer supported

For the best possible experience using our website we recommend you upgrade to a newer version or another browser.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

We'll assume we have your consent to use cookies, for example so you won't need to log in each time you visit our site.
Learn more

WESTMINSTER: 'HOUSING CASH PLANS WILL HURT CAPITAL'

  • Comment
Westminster City Council has claimed that government proposals will lead to extreme pressure on social housing in c...
Westminster City Council has claimed that government proposals will lead to extreme pressure on social housing in central London.

It said the plans to reallocate the budget used to maintain housing estates - known as the management and maintenance allowance (MMA) - could see London's council tenants lose£1.25bn by the time of the 2012 Olympics, enough to refurbish 46,000 homes in central London.

The proposals are part of a Department for Communities and Local Government consultation entitled 'The allocation of management and maintenance allowances within HRA Subsidy'. Under the plans resources will be moved away from the capital, to increase funding in the rest of England and Wales, costing London's annual housing budget£400 per household.

Westminster - which says it is set to lose over 30% of its current funding - warned it would put further pressure on social housing in central London. It said current inequalities arise because London's flats cost more to maintain than houses across the rest of the country.

Westminster has established an independent housing commission to look at the issues around social housing. The committee is chaired by Lord Richard Best, director of the Joseph Rowntree Foundation. Their findings are expected in mid September.

Angela Harvey, cabinet member for housing, said: 'This proposal is a very serious threat to housing providers in central London. The capital has unique housing problems and losing this money will have a significant effect on existing tenants as well as people on the waiting lists.

We have already lost funding to new developments in Milton Keynes and the Thames Gateway, while demand in places like Westminster continues to grow. Cumulatively these measures will place an enormous strain on social housing.'

  • Comment

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions.

Links may be included in your comments but HTML is not permitted.