Highland bids for Council House Building

14th March 2010

Fifty five new homes could be built in the Highlands if The Highland Council is successful with a £1.65 million funding bid to the Scottish Government.

Members of the Council's Housing and Social Work Committee have agreed that the Council will submit a bid to the Scottish Government for its third round of funding to support new council house building.

If successful the funding will assist with the development of 55 housing units on Highland Council or Highland Housing Alliance-owned sites and while detailed plans have yet to be confirmed the provision bid includes sites at: Assynt Road, Inverness (12 units); Joss Street, Invergordon (12 units); Rowan House, Fort William (5 units); Nairn Road, Ardersier (8 units); Strathpeffer (8 units); Portree (6 Units); and Kingussie (4 units).

Members agreed that an estimated £1 million from the Council's Landbank Fund would be used in the year 2011/12 and £1 million from the Housing Revenue Account balances as the Council's contribution to these developments as well as additional prudential borrowing of £3.280 million.

The Council's Director of Housing and Property, Steve Barron advised members that this was the final round of invitations from the Scottish Government to bid for this sort of funding for Council house building. He informed members that the Scottish Government are working with COSLA to explore options for the sustainable funding of future affordable housing and that this exploration will involve a 'mapping exercise' to look at the capacity of all social landlords to contribute to building more housing.

Members agreed with Mr Barron that The Highland Council should engage fully and actively with COSLA and the Scottish Government to ensure that there is a level playing field in the work being undertaken nationally to explore the options for the sustainable funding of future affordable housing.

Committee delegated the responsibility of submitting the details of the final funding bid to the Scottish Government to the Chair, Vice Chair and Director of Housing and Property.