Cash freeze homes threat

Reporter: JANICE BARKER
Date online: 05 July 2010

A freeze on cash for large housing schemes leaves a question mark over new developments such as 93 new homes at St Mary’s in Oldham.

Part of the funding for that scheme and others such as Byron Green in Hollinwood will come from the Homes and Communities Agency.

But the HCA has a £610 million budget black-hole and new Housing Minister Grant Shapps has already said the Government will only cover £140 million of that.

The HCA has frozen spending on 91 local authority new-build schemes which already had funding approval.

Councillor John McCann, cabinet member for regeneration and environment, said: “We could be affected but we honestly don’t know. We are hoping to find out as soon as possible.

“Hopefully Byron Green at Hollinwood (where 32 new two, three and four-bedroom homes will be bought in partnership with First Choice Homes Oldham from builders McInerney Homes) will go ahead.

“Only a fairly small part is coming from the HCA.”

At St Mary’s, Contour Housing has applied to build 93 eco-homes for rent, sale or on a flexible tenure on the area once occupied by the Jespersen Street flats, demolished in 1997.

Oldham Council is contributing the land, and Housing Market Renewal money will get the site ready for development.

Councillor McCann added: “The HCA has been very impressed that we have a registered social landlord (Contour) on line and we got good vibes off them.

“One or two other small housing schemes could be a bit iffy, but the short answer is we don’t know yet.”