The government is considering freeing up billions of pounds to build more council homes. Just 400 council homes were built in 2007, despite a waiting list which is expected to grow to five million by 2011. But the government is looking at letting councils keep profits from rents and right-to-buy schemes instead of passing them to the Treasury. This could unlock £72 billion to build 300,000 new homes over 10 years. Margaret Eaton, of the Local Government Association, said: âAllowing councils to keep the rent they collect and the proceeds from sales would be a huge boost to the economy. Thousands of homes could be built, improved or made more energy efficient if Government stopped taking this money.â The LGA said 90,000 homes could be built in five years if the system was reformed. And, if councils were also freed from government debts, 300,000 homes could be built in a decade.
