Council agrees £1.2m to buy one-bed homes in Fenland

Fenland District Council is set to spend at least £1.2million on buying one-bedroom homes to help meet housing demands for single people and couples.

The amount was agreed at this month’s meeting of the council’s cabinet where a report presented by Cllr Sam Hoy, the council’s portfolio holder for housing, outlined the need for more housing.

The meeting heard that on October 24 this year the council had 33 single/couple households in emergency interim accommodation as a result of homelessness.

As a result the costs are putting pressure on the council’s medium-term financial strategy.

Members have already previously agreed to plans to increase the supply of housing that meets housing benefit rules over the next two years.

However, the report goes on to say: “It is now felt financially prudent to increase the supply of accommodation in the short term that will increase the number of units that are housing benefit subsidy compliant.

“Therefore, it is requested that a fund of up to £1.2 million to be made available to purchase: one bed properties in Fenland and/or neighbouring districts.

Each such property saves around £15,000 a year compared to placing people in bed and breakfast accommodation.

The management costs would be recovered through rent.

The £1.2million would come from the Horizons reserves fund, so would not cost the council any financial charges.

At the meeting Cllr Jan French said she assumed the properties would be spread across the district rather than located in one town or village. Cllr Hoy agreed that ideally they would be spread across the whole of Fenland.

Cllr Tierney asked Cllr Hoy to clarify the use of these properties, being aware there may be a public assumption that they would be for the benefit of asylum seekers.

Cllr Hoy stipulated the purpose was to meet local housing needs, assisting people with a connection to Fenland, some of whom may currently be in bed and breakfast accommodation. She confirmed that the scheme was not to house asylum seekers.

In answer to a question from Cllr Alex Miscandlon on whether the scheme could be extended to two-bedroom properties to accommodate families who might otherwise be placed in a bed and break Cllr Hoy explained the demand for such accommodation had reduced.

She said the council has a statutory duty to move them on faster and has been working with housing associations to free up their properties for families.

Also, local authority housing fund monies were received where the focus has been on two and three bedroom properties for families, hence the current emphasis on one-bedroom properties for single person accommodation.

At the end of the discussion it was agreed to set aside £1.2million from reserves to purchase 10 one-bedroom properties on the open market and delegate the council leader, Chris Boden, and the Section 151 Officer to buy them.

It was also agreed to delegate any increase needed to the £1.2 million to the Section 151 Officer in consultation with Cllr Boden and Cllr Hoy.