A major new strategy for how housing is delivered in Bexley is set to be developed by the council.

Bexley has seen huge demand for housing in recent years, and currently there are just under 1,400 homeless people living in temporary accommodation.

The council already admitted it overspent by £1m this year dealing with pressures on housing, but agreed this week to increase the budget to stop similar problems in the coming 12 months.

At the same meeting it was revealed that top councillors have been preparing a housing delivery strategy, outlining where and what type of housing should be built in the borough.

The council already has an ambitious growth strategy, outlining 17,000 jobs and 31,500 homes by 2050, but a new masterplan for housing is set to be revealed.

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Council leader Teresa O’Neill said: “We’ve worked hard to keep down the costs of temporary accommodation, even setting up our own development company, as well as working with housing associations and buying properties. We have too many people in temporary accommodation.

“We are bringing forward a Bexley housing strategy – a cross-council strategy so we can all play our part.

“Our aspiration is a housing delivery plan. That could include identification of the types of properties we need, including options for both old and young people.

“It could include testing viability at the planning stage, putting Bexley residents first for nominations [to housing associations] and affordable housing, and encouraging local housing associations to enforce tenancy conditions and maybe even rewarding good tenants with new social housing.

“One thing is clear, it needs to be council-wide to make a difference to the future of our borough and it will help achieve good growth.”

The strategy will look at different housing needs for adults, younger people coming back from uni and residents with higher needs.

The council has already proposed £5m extra to buy 17 new homes in the borough, with figures showing there are over 2,000 children in temporary accommodation in Bexley.

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At the same budget meeting on Wednesday an emergency motion was put forward by opposition Labour councillors calling for £1.5m of unallocated cash given over by developers to be used for housing.

The budget amendment was defeated, with the cabinet member for housing councillor Alex Sawyer saying: “There will be a borough-wide housing strategy bringing together all aspects of this council. We have the adopted growth strategy and one of the aspects of that is affordable housing. Affordable housing is our priority, not shared ownership.

“We will leave no stone unturned in our desire to sort out homelessness and temporary accommodation in the borough.”

It comes just a week after a major planning application for a tower block in Sidcup was passed with no affordable housing included in the scheme, the developer instead giving a one-off cash payment.