Cambridge tenants face £9 million Government demand

January 9, 2007 10:48 AM

Executive City Councillor for Housing, Catherine Smart, has today expressed regret at the Government policy which takes over £9 million from Cambridge's Council tenants.

Councillor Smart's comments came after a Housing Management Board meeting between Councillors and tenant representatives to review the Council housing budgets.

Councillor Smart commented:

"The Government is taking over £9 million from Cambridge's Council tenants in order to fund others around the country. This means over £1000 for every family of Council tenants in Cambridge every single year. This is money which would have been used on house repairs and estate improvements here in the city.

Councillor Catherine Smart

Councillor Catherine Smart

"It shouldn't be Council tenants who have the greatest responsibility to pay for the necessary improvements in other areas of the country."

Under Government policies budgets for upkeep and improvement of council housing are ring-fenced as Housing Revenue Account both in local council budgets and nationally. National ring-fencing means that in order for the Government to provide additional subsidies for Council areas without sufficient funds for the upkeep of their Council housing, other local authorities, such as Cambridge City Council, must pay a 'negative subsidy' to the Treasury.

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