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Plans to invest £260m in council housing over next five years

New housing

Gateshead Council leaders are planning to pump £260m into the their housing service over the next five years.

The council will use the money to improve existing homes, and fund the building of over 400 new council homes between now and 2030. These plans also include the demolition of buildings that are no longer sustainable, including Redheugh Court and Eslington Court.

In addition, spend on the day-to-day maintenance of the council's 18,000 homes will increase to £35m a year. This is £10m more than four years ago, when the council took back direct management of its homes from The Gateshead Housing Company.

The funding will come from the Housing Revenue Account budget, with a paper on the recommendations set to be agreed by Cabinet at a meeting next Tuesday, 18 February.

The paper sets out a council housing financial strategy for the next five years and includes prioritising those council homes most in need of investment.

It also outlines plans for hundreds of new homes to be built in the next five years, to meet much needed demand for social housing. There is a national drive to ensure more council homes are built across the country. This is a first step in meeting the government's challenging house building targets for the borough.

Gateshead's social housing will also benefit from an annual programme of improvement work, including refreshing bathrooms, central heating systems, kitchens, roofs, windows, doors and other important maintenance work.

Gateshead Council's Cabinet Member for Housing, Councillor Chris Buckley said:

"Every tenant has a right to a decent and safe home. We recognise this as a priority which is why we are planning to use this funding to invest in the maintenance and improvement of council-owned homes.

"Our tenants deserve the best we can afford, and we are determined to get schemes in place that deal with the issues which some of our tenants are currently facing. Our strategy makes clear that some of our properties are not in an acceptable condition and sets out how we're looking to address this over the next five years.

"We have a long-term plan to prioritise making our homes decent and investing in our homes in both our housing stock as well as our high-rise blocks."

The investment plans include:

  • £78m spent on replacing kitchens, modernising bathrooms, upgrading electrics and replacing windows and doors.
  • £41m spent on reducing fuel bills by investment in new green technology and insulation measures, as well as replacing less efficient heating systems
  • £8m will be spent on common areas, improved door entry systems and new CCTV to keep people safe and secure
  • £4m will be spent on fire safety measures and replacing lifts
  • £10m will be spent on removing poor quality garages and in improving open space
  • £67m will be spent on building and acquiring over 400 new council homes
  • £10m will be spent on adaptations to ensure people can continue to live independently at home
  • £28m will be spent on the demolition buildings that are no longer viable or sustainable and regenerating vacant sites.

Joseline Nenzou, council tenant member of the Strategic Housing Board, said: "We welcome the council's plans to invest in our homes.

"It is long overdue, and we are keen that these changes begin as soon as possible, once the plans are agreed. We understand the pressures the council is under financially, but people's homes must be habitable, and we are pleased this has been recognised by Gateshead Council."

The Cabinet report can be found here.

New housing
14 February 2025

Gateshead Council leaders are planning to pump £260m into the their housing service over the next five years.

The council will use the money to improve existing homes, and fund the building of over 400 new council homes between now and 2030. These plans also include the demolition of buildings that are no longer sustainable, including Redheugh Court and Eslington Court.

In addition, spend on the day-to-day maintenance of the council's 18,000 homes will increase to £35m a year. This is £10m more than four years ago, when the council took back direct management of its homes from The Gateshead Housing Company.

The funding will come from the Housing Revenue Account budget, with a paper on the recommendations set to be agreed by Cabinet at a meeting next Tuesday, 18 February.

The paper sets out a council housing financial strategy for the next five years and includes prioritising those council homes most in need of investment.

It also outlines plans for hundreds of new homes to be built in the next five years, to meet much needed demand for social housing. There is a national drive to ensure more council homes are built across the country. This is a first step in meeting the government's challenging house building targets for the borough.

Gateshead's social housing will also benefit from an annual programme of improvement work, including refreshing bathrooms, central heating systems, kitchens, roofs, windows, doors and other important maintenance work.

Gateshead Council's Cabinet Member for Housing, Councillor Chris Buckley said:

"Every tenant has a right to a decent and safe home. We recognise this as a priority which is why we are planning to use this funding to invest in the maintenance and improvement of council-owned homes.

"Our tenants deserve the best we can afford, and we are determined to get schemes in place that deal with the issues which some of our tenants are currently facing. Our strategy makes clear that some of our properties are not in an acceptable condition and sets out how we're looking to address this over the next five years.

"We have a long-term plan to prioritise making our homes decent and investing in our homes in both our housing stock as well as our high-rise blocks."

The investment plans include:

  • £78m spent on replacing kitchens, modernising bathrooms, upgrading electrics and replacing windows and doors.
  • £41m spent on reducing fuel bills by investment in new green technology and insulation measures, as well as replacing less efficient heating systems
  • £8m will be spent on common areas, improved door entry systems and new CCTV to keep people safe and secure
  • £4m will be spent on fire safety measures and replacing lifts
  • £10m will be spent on removing poor quality garages and in improving open space
  • £67m will be spent on building and acquiring over 400 new council homes
  • £10m will be spent on adaptations to ensure people can continue to live independently at home
  • £28m will be spent on the demolition buildings that are no longer viable or sustainable and regenerating vacant sites.

Joseline Nenzou, council tenant member of the Strategic Housing Board, said: "We welcome the council's plans to invest in our homes.

"It is long overdue, and we are keen that these changes begin as soon as possible, once the plans are agreed. We understand the pressures the council is under financially, but people's homes must be habitable, and we are pleased this has been recognised by Gateshead Council."

The Cabinet report can be found here.

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