News / Next move on housing debt
SHETLAND Islands Council is hoping to make progress on the authority’s £40 million housing debt when Scottish housing and welfare minister Margaret Burgess visits next week.
During last week’s visit of the Scottish cabinet, the council had received assurances that the government in Edinburgh would consider its latest compromise proposal.
The deal put forward by the SIC would see the UK government and the council pay £10 million each to reduce the debt to a more manageable £20 million.
This would free up the way for the Scottish government to commit a similar sum as a housing grant during 2016–18 allowing the SIC to build much needed social housing.
Without a solution to the ongoing housing debt crisis, a rent hike of between ten and 15 percent would hit council house tenants, the SIC has warned.
Political leader Gary Robinson said: “We have taken the initiative to try to break the deadlock on Shetland’s historic housing debt problem and secure a better future for our tenants in terms of affordable and available housing.
“The position we have put forward is, in our minds, one that could settle the housing debt debate once and for all.”
Housing executive manager Anita Jamieson, added: “A solution to the debt issue is long overdue and is crucial to protecting our tenants, by ensuring that we can provide a quality service that meets their needs and expectations at an affordable rent. “
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