Prime Minister gives permission for hundreds more much-needed council houses to be built in Milton Keynes

Hundreds more council houses can now be built in MK following the prime minister'sÂ announcement that the borrowing cap will be lifted completely.

By The Newsroom

Published 3rd Oct 2018, 14:55 BST

Updated 3rd Oct 2018, 15:59 BST

Last week Milton Keynes' ruling Labour councillors revealed plans to build 596 new council houses across the borough - providing the government allowed them.

Today Theresa May announced in her conference speech that the housing borrowing cap will be lifted in its entirety.

The cap has limited the extent to which councils could borrow against its assets up until now.

Labour has criticised the government for stalling the council’s ability to build much-needed homes in the past.

But MK Tory leader Alex Walker said: “Labour will have no excuse for dragging their feet and no-one to blame now.”