Lib Dems attack Government housing funding cut (Islington Liberal Democrats)

Islington Liberal Democrats <Islington_ld@cix.co.uk>

Lib Dems attack Government housing funding cut

October 23, 2008 11:14 AM

Councillor James Kempton on the roof of Kestrel House, Bunhill

Council leader James Kempton

Liberal Democrat leaders in Islington have launched a blistering attack on the Labour Government for its plans to slash funding for the borough's tenants and housing stock.

Islington tenants are set for a 'double whammy' of reduced government housing subsidy to improve their homes as well as above-inflation rent rises due to changes brought in by the Government to bring council rents in line with the private sector.

Liberal Democrats have condemned the move and demanded that Labour ministers put the plans on hold while a Government review into housing funding is completed.

Islington has joined forces with Camden and Southwark Councils and the boroughs' leaders have now written to Housing Minister, Margaret Beckett, calling for an urgent meeting to discuss the funding crisis.

Islington's Liberal Democrat council leader, James Kempton, said:

"The Labour Government's attempts to rip off Islington tenants are shameful. They are an insult to our tenants and a slap in the face for Islington's improved housing service under the Liberal Democrats.

"These plans will spell big cuts in what the Council can do for Islington's tenants as well as huge rent increases which the Labour government now set.

"It makes no sense when everything is up in the air because of the Government's national review of housing funding. Labour must listen and give Islington a fair deal."

The Labour government is proposing to cut £5.2 million from the borough's housing budget over two years in 2009-2011 through withdrawal of housing revenue account subsidy.
Funding cuts would mean Islington tenants face a rent rise of 6.6% in 2009/2010 and 7.2% in 2010/2011.