Steep housing cuts are a disaster for Highland families - Lib Dems
December 18, 2009 11:51 AM
Originally published by Scottish Liberal Democrats
Originally published by Scottish Liberal Democrats
Highland Lib Dem MPs Danny Alexander and Charles Kennedy have hit out at news that the SNP Government is cutting grants for housing associations to build new homes by 6%.
Ministers have announced that the benchmark level of Housing Association Grant (HAG) will be cut from £73,000 per house to £68,500, with immediate effect.
Commenting on the news, Mr Alexander said:Danny Alexander MP: Highlands
"There is a huge struggle still facing thousands of families in the Highlands. Their best chance of a warm home that meets their needs is for the building of new affordable homes to continue.
"This cut is a devastating blow to their hopes and our local housing associations' work to fulfil them. Local housing providers have already been in touch with me to say that both ongoing and planned future projects are threatened.
"Ministers should be ashamed of themselves, and the manner in which this news was sneaked out certainly suggests that they are. They must think again."
Ross, Skye & Lochaber MP Charles Kennedy added:Charles Kennedy MP: Ross, Skye & Lochaber
"This Government has already forced housing associations to rely much more on bank lending in the midst of a credit crunch. They are now cutting again at an area where investment is vital - to meet the desperate need for homes in our communities, and to provide jobs and training places for our economy's future.
"Housing associations providing small developments in rural communities face significantly higher unit costs, and a large 'one size fits all' cut is the last thing they need.
"Ministers have come to the Highlands and heard from housing providers and tenants about the issues, but they have gone back to Edinburgh and done the opposite of what was asked of them.
"There is no doubt that this cut will make it much harder for new affordable homes to be built right across the Highlands & Islands."
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