Body blow for new East Devon homes hope

PUBLISHED: 16:54 21 July 2009 | UPDATED: 23:51 15 June 2010

GOVERNMENT funding for East Devon could be slashed to pay for affordable homes elsewhere in the country.

GOVERNMENT funding for East Devon could be slashed to pay for affordable homes elsewhere in the country.

The region, which is earmarked for 11,000 new homes, is threatened with having next year's cash allocation of £3.9million cut.

Whitehall officials have confirmed that money for housing development in the county will be used to pay for Gordon Brown's £1.5bn pledge to build 20,000 extra affordable homes nationwide.

The New Growth Fund was unveiled in 2007 and local authorities were called on to identify sites for development. But it has been revealed that £128m will be taken out of the fund nationally.

Councillor Sara Randall Johnson, leader of East Devon District Council, said: "I am shocked that the Government seems to want to rip the affordable housing heart out of local Growth Point activity.

"I would call on the Minister to reconsider the decision to reduce this funding by over £1million, when we have 7,000 people locally on the housing waiting list. Labour raises hopes that local homes will become available - and then dashes them.

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