Published: Wednesday, 4th November, 2009 8:00am

Housing rules change should benefit town

by Adam Hewitt

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COUNCIL tenants could soon see their rent money spent on improvements in Reading rather than being siphoned off to Whitehall.

The Government proposed the huge policy shift in July and its effects are now filtering down. The change will mean councils keeping rents and money earned from selling council houses rather than paying it to the Government and then waiting for some of it be sent back using a complicated calculation.

Reading sends off £5.5m more a year than it gets back from the Government and politicians from all parties and tenants have lobbied central Government on the unfairness of the current system.

Borough housing leader Cllr Debbie Edwards told Monday night's Cabinet meeting it was a welcome change but admitted: "It's an extremely complicated reform to an extremely complicated situation.

"We wish to keep our stock, develop our stock and help our tenants."

It is thought the switch to self-financing will ultimately help Reading taxpayers - but the council will have to take on some of the 'national debt' from the whole social housing system.

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