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The LGiU is calling for the reform of Section 106 agreements to allow councils to use money they receive from developers to build or improve social housing.    

The move is part of a series of proposals from the local democracy thinktank to free up local councils and communities to regenerate and improve existing social housing.   

“Britain faces the biggest social housing crisis since the 1940s with a huge shortage of homes and many of them are crumbling and need major repairs or regeneration.  Our in depth investigation into these issues in places like Southwark shows that councils desperately want to improve local social housing but are seriously hampered by a combination of central government restrictions and old post war debts.     

Andy Sawford, chief executive of LGiU commented:

“To free up badly needed resources we want to see reform of Section 106 agreements between local authorities and developers.  At present the regulations are far too restrictive because they prevent councils from improving existing social housing.   

“We are delighted that Southwark MP Simon Hughes is taking this up in Parliament and we strongly back his Bill to change Section 106 regulations to allow councils to use money they receive from developers to build or improve social housing.  This will free up badly needed resources for councils to undertake repairs and improvements. “

The Bill, known as the Town and Country Planning Act 1990 (Amendment) Bill, will be debated in Parliament tomorrow (Friday 29th).   

The LGiU is pressing the government to support the Bill and make further parliamentary time available.   

Sawford added:

“Local councils will have mixed views about how Section 106 should be used and the LGiU believes this should be their choice, rather than determined by Whitehall”.