A PROPOSAL to close a council-owned housing company and force renters to move out at the end of their tenancy has been criticised by opposition parties.
Last week, Reading Borough Council announced it was considering ending Homes For Reading Ltd and transferring its housing to its main housing stock so they could be let to keyworkers for affordable rents.
It said the decision to change the scheme was due to changes to local authority lending rules, the housing market, and interest rates.
But to switch homes to the council’s housing stock, the homes have to be empty, and that means the 101 tenants will need to move out when their agreements expire – it will be two years in some cases
The Council says it will help affected tenants to find alternative housing.
Councillor Ellie Emberson, lead councillor for housing, said: “We are not in a position to absorb significant financial losses or significant delays in repaying loans.
“We fully appreciate this is unsettling for affected tenants, but it is important to emphasise that all tenants will be able to remain in their properties until their tenancies expire, some of which run up to 2026.”
The leader of the opposition, the Green party’s councillor Rob White, said his party had been raising the issues caused by housing for some time.
“Labour have been failing on affordable housing, failing on rough sleeping and the failure of the council’s housing company is going to leave more Reading residents homeless.
“The council needs to do everything it can to make sure every single person is rehoused.”
And Lib Dem Councillor Anne Thompson said: “It’s desperately sad that people may be facing eviction.
“As we understand it, the Government’s failure to fund councils properly and its introduction of new financing rules are making long-term projects like Homes for Reading too risky for Reading Borough Council.
“It would be ideal if a solution could be found that would allow people to remain in their homes.”
