WARRINGTON Borough Council will enter into a £30 million, 25-year loan agreement with a housing trust.

On Monday, the executive board unanimously approved plans for the council to enter into the loan facility with Johnnie Johnson Housing Trust Ltd (JJHT).

In his report to members, deputy council leader Cllr Russ Bowden, who is executive board member for corporate finance, said 'it provides a prudent social investment opportunity' to the authority.

He added: "The council has been providing loan facilities to housing associations (HAs) to stimulate housing development in Warrington and the surrounding area since 2009.

"This loan request can be funded from the current three-year capital programme, which was agreed by full council in February.

"If this loan is agreed it will be in addition to the £430.3 million, with £82.3 million drawn down to date, loan facilities that the council currently has with 14 HAs.

"The main purposes for the council entering into this loan with JJHT are for the promotion of economic regeneration and the generation of house-building in Cheshire and the surrounding region."

The loan has been negotiated on a full commercial loan basis.

Cheshire-based housing provider JJHT, which has around 5,000 properties, provides homes for over 55s living independently, as well as general let and shared ownership houses.