Perth & Kinross Council has announced proposals to build 45 new Council houses in Methven, Scone, Pitlochry and Alyth at a total cost of almost £5,700,000.

A meeting of Councillors on Monday approved a bid to the Scottish Government for £1,350,000 which would part-fund the project.

The bid will be made to the third tranche of a £50m Scottish Government fund made available to local councils to help pay for affordable housing, by subsidising each new unit by up to £30,000.

The rest of the funding for the proposed project will come from the Council's innovative Council Tax Fund on Second Homes, and from prudential borrowing.

A meeting of the Executive Sub Committees of the Council's Strategic Policy and Resources Committee and Housing and Health Committee heard today that the new homes would target the affordable housing needs of the four areas.

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In 2009 Perth & Kinross Council made a separate successful £650,000 bid from the Scottish Government fund to help pay for 36 new units in Letham, Methven and Moncrieffe - the first council housing to be built in the area for over 20 years. The Council is investing an additional £3m to pay for these projects, and construction will begin on these sites this year.

All of these projects to provide new Council housing in hot-spots of affordable housing need represent a major investment by the Council to provide acutely needed homes for local families.

Council Leader, Councillor Ian Miller, said: "Perth & Kinross has a limited housing stock and the pressure to meet the demand for social housing is immense, so the Council has been working on a range of initiatives, including these new-build proposals, to make more affordable homes available.

"Building new homes is only part of a much larger Council strategy to tackle local housing need. This strategy includes improving the supply of land for affordable housing through an audit of Council?s landholdings, the sale of Council land holdings at reduced values to ensure affordable housing is built, a Private Sector Leasing Scheme, developing accommodation with support for homeless families and revising our allocations policy to ensure those in greatest housing need are housed.

"Delivering high quality housing in safe and secure neighbourhoods is a key priority for Perth & Kinross Council."

(GK)