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Block on homes plan
• AS a former chairman of housing, Justice Secretary Jack Straw will appreciate the severe shortage of affordable homes in Islington. As a member of the Cabinet, he will know that all government departments are being called on to help tackle the housing crisis.
Which is why I am baffled as to why the National Offender Management Service (NOMS), which comes under his department, is refusing to co-operate with Islington Council to increase the stock of social housing. NOMS leases seven houses in Essex Road from the council, for the use of prison staff. NOMS has now decided not to provide housing for these key workers any longer and to sell the leases.
According to Justice Minister David Hanson, Treasury rules require his department to achieve best value for disposal of these assets. Consequently, Justice Department staff have approached the council to ask if we will sell the freehold at the same time in order to maximise the value of the disposal.
However, in light of the pressures on the housing waiting list in Islington, I have instructed my officers to request a joint sale of these properties to a housing association so they can be refurbished and used as affordable housing for residents.
I have also instructed my officers to accept a price that is lower than the open market value of the combined freehold and leasehold interests so social housing is a viable option. However, this can only be done if Mr Straw’s department cooperates. This is how I interpret my responsibility to secure “best value”.
The Justice Ministry interprets “best value” as meaning “highest price” and does not heed the needs of homeless and overcrowded families or the wider community. Its staff have refused to join us in a sale at a reduced price to a social landlord.
The council clearly cannot afford to buy back the leases.
I have asked Mr Straw to intervene urgently for the benefit of Islington residents in need of better housing, and to ensure his department does not block reasonable measures to increase the supply of affordable housing in the borough.
CLLR TERRY STACY
Lib Dem executive member for housing
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