AMBITIOUS council plans to create a housing company in a bid to increase the supply of homes across Allerdale have taken a major step forward.

The borough council’s executive has today (February 25) agreed to take the proposals through to the next stage which will see the authority develop a business plan.

The move comes as part of an initiative to tackle homelessness, bring empty homes back into use and help regenerate the borough.

The council transferred the management and maintenance of its housing stock to Derwent and Solway Housing Association two decades ago but remains the strategic housing authority.

The last five years has seen the development of over 400 affordable homes across Allerdale, but the council has also failed to meet housing targets set out in its own local plan.

It is hoped that setting up of a wholly-owned company would allow for a much more “flexible approach”, giving the authority the ability to develop affordable and market homes for rental or for sales.

Labour councillor Carni McCarron-Holmes, executive member with responsibility for housing, said it also allows the authority to retain “full control” of developments from the construction phase through to the marketing.

She said: “The establishment of the company would increase the supply of homes in Allerdale and meet the demand, increase investment in regeneration.

“It would bring empty homes back into use. It would support the drive to reduce homelessness, and it would also create realisable capital assets for the council. It would support us as a council to control the housing needs through the planning process and the design standards.

“It would enable to council to retain full control of the development and the construction process including the marketing – and equally importantly it would generate long-term revenue for the council.”

Deputy leader Mark Fryer said the creation of the housing company would “mitigate risk” for the private sector developer.

“It allows us to tackle some of the more difficult sites in our communities that are almost becoming a blight and bringing the areas down,” added.

Coun Barbara Cannon said: “I have long felt that we needed to do something positive like this. This is the beginning of a journey which will result ultimately, I hope, in a very robust business case which will explain how we are going to do it.”

She also stressed that the plans needed input from elected members, not just from officers.