Housing: New-build Homes

Debate between Baroness Maddock and Baroness Stowell of Beeston

Thursday 31st October 2013 Lords Chamber

[Baroness Stowell of Beeston]

The noble Lord moves to a specific area on which I do not have information, so I will have to write to him.

[Baroness Maddock (LD)]

My Lords, my noble friend will be aware that the borrowing restrictions on local authorities in the United Kingdom are far more stringent than those on local authorities in many of our neighbouring north European countries. When will the Government look seriously at altering the public sector borrowing requirement, because changes could be made that would greatly assist our local authorities in building more new affordable homes?

[Baroness Stowell of Beeston]

We certainly encourage local authorities to use their assets and the borrowing power that they already have. Not all councils are borrowing up to their cap, but the cap is important because it is part of our larger strategic objective, which is reducing the overall deficit, so it is not possible at this time for us to lift the cap on local authorities.