Liverpool Council in loans bid to revive housing market
Jul 7 2008 EXCLUSIVE by Ben Schofield, Liverpool Daily Post
Liverpool Town Hall
Mr Halsall will now draw up a report for the Executive Board.
If passed, it is thought Liver- pool will be the first local author- ity to re-enter the housing market.
The council is thought to have stopped offering mortgages in the early 1990s.
Then demand for Town Hall loans dried up as commercial loans became easier to obtain and building societies were under- cutting council interest rates.
Last month, a study by the New Local Government Network think-tank recommended re- introducing them to help victims of the credit crunch.
Their report said there was nothing barring the return of local authority lending.
It is unclear exactly how the new loans would be arranged.
Cash would probably come from either a partner working with the council or the open market.
Liverpool City Council would act as guarantor and would underwriting the mortgages.
Cllr Clucas added: “Officers are working on it as we speak. Phil Halsall says he will do what he can now. We will, if we can, put something in place as quickly as possible.”
Cllr Fielding, who is executive member for stronger, safer communities, named Norris Green and Breckfield as prime areas for council loans.
