By ROBERT GIBSON

Last updated 17:37, Thursday, 21 August 2008

THE body that represents the UK’s housing associations has called for increased affordable housing in Tynedale in light of a recent report on house prices.

Figures provided by the National Housing Federation show in that in 2007 the average price of a house in the district was £232,531.

The average income, meanwhile, was £21,668, making it difficult for many people to get on the housing ladder.

The federation believes the credit crunch could prevent private developers from investing in affordable housing, and is asking the Government to support housing associations in taking the lead.

Regional manager of the federation Monica Burns said of the new report: “North East Home Truths 2008 shows that despite concerns about the credit crunch, house prices across the North-East have risen faster than anywhere else in the past five years and will increase further over the next five years.

“Northumberland has the largest affordability gap in the region and a massive housing waiting list. But only a tiny number of new social homes are being provided.

“Unless more social housing is provided the supply and demand mismatch will continue to grow.”

According to the latest figures, 1,639 households were on housing association waiting lists for Tynedale last year.

Between 2006 and 2007, only 25 new homes were completed with Housing Corporation funding.

Two other properties were added to housing association stock, and 11 affordable homes were sold through the right to buy scheme.

Concerns have been raised in recent years over the number of Tynedale villages deemed ‘unsustainable’ due to a lack of facilities, where new development is not permitted.

Milecastle Housing, the district’s largest social housing agency, says it is taking every opportunity to address problems in housing supply.

“Since stock was transferred from the council in 1999, we have been looking to increase the number of affordable houses,” said head of housing, care and support, Chris Scott.

“Demand for housing, however, has risen dramatically as the market value of houses has shot up.

“Young families and young people generally cannot get on the ladder, and occupiers are struggling more and more with high mortgages and interest rates.

“We are endeavouring to increase the amount of affordable housing within the Tynedale area, but it isn’t straightforward, because of land and planning issues, which are obviously cause for concern.”

Head of housing at Tynedale, Chris Brinton, said affordable housing remained a high priority.

“We are pleased that consultation with local communities has meant the Northumberland Local Area Agreement includes increasing the supply of affordable housing as a key target,” he said.

“In Tynedale, over the last five years we have enabled the development of 230 affordable homes, with over £17 million investment from the private sector, the Housing Corporation and contributions from Tynedale Council’s £3 million housing enabling fund.

“We are projecting another 216 will be completed over the next three years based on the schemes we have been working on over the last year.”

Opinion – page 12