WARRINGTON Borough Council ‘remains committed’ to setting up a £60 million housing company.

The authority's budget, which was passed in February, included a £60 million allocation for the creation of the organisation.

Following approval of the budget, the scheme was added to the 2017/18 – 2019/20 capital programme.

Budget documents confirmed the company 'will build properties for affordable and market rent'.

The 'invest to save' scheme was projected to deliver £200,000 savings in 2017/18, £750,000 in 2018/19, £1 million in 2019/20 and £1.8 million in 2020/21.

Steve Park, managing director of Warrington & Co, has discussed the proposal with council chiefs.

He said: "The council remains committed to the delivery of homes in Warrington, in part through an arms-length housing company.

"The business case that underpins this, along with the sites to be included, continues to be reviewed and will be subject to approval by the executive board in the final quarter of this year."

Cllr Bob Barr, leader of the town's Liberal Democrats, said his party 'wants to know how the council intends to get the consent of residents to such plans'.

He added: "Warrington's revised local plan proposes that between 19,000 and 26,000 additional new homes need to be built in the borough over the next 20 years.

"Many thousands of houses are probably unavoidable because, without an acceptable plan, the Government will impose such growth on our town and residents will have less say.

"In its budget the council undertook to create a housing company – both as a pure financial investment but also as a means of enabling more homes to be built in our town.

"So far the main 'investment' in housing by the council has been to lend money to housing associations, mainly operating outside Warrington.

"While such activity generates a profit for use in Warrington, it does little to meet Warrington's housing needs.

"That is why the Liberal Democrats are asking Labour how it will ensure that the right houses are going to be built in Warrington at the right rents or prices and in the right places.

"We are not getting satisfactory answers.

"In particular, does the council intend to build genuinely affordable housing, while still making a profit from its proposed housing company?

"The Liberal Democrats believe that Warrington's housing and planning policies need cross-party consensus and broad public support.

"This will not be achieved without genuine open discussion of the issues and proper public consultation.

"It also needs the willingness of the town's residents to engage constructively in such an exercise rather than opposing all proposals."