PENDLE missed out on £800,000 of essential housing cash so the Government could win votes in the South East, a senior councillor claimed.

Changes in the way housing subsidies to local authorities are calculated left Pendle and other East Lancashire councils out in the cold, Liberal Democrat David Whipp said.

The formula used to calculate housing cash, known as the General Needs Index, was changed this year to give greater priority to improving council houses and homelessness.

"This has cost this authority in the order of £800,000 for the next financial year in housing investment," said Coun Whipp.

"There has been a 27 per cent cut in the General Needs Index for us and other East Lancashire authorities so the Government can divert resources to the leafy suburbs of the South East.

"The Government will be guilty of creating 21st Century slums if they don't come up with the cash."

Coun Whipp said studies showed that Pendle needed £147 million spent over the next 10 years to bring all its unfit housing up to standard.

"We need to work with Burnley, Hyndburn, Rossendale and Blackburn to get the Government to change what will be a quite disastrous position as far as housing is concerned," he added.

Pendle is calling for an urgent meeting with other East Lancashire councils to mount a concerted campaign to get more Government housing cash and has written to the Government highlighting its concerns.

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