A COUNCIL is shunning a government scheme aimed at helping tenants buy private homes - because it can't fill its own properties.

The government's Cash Incentive Scheme encourages town halls to give council tenants grants of up to £10,000 to buy private houses, releasing council properties for families in need.

Councils are allowed to raise the money by borrowing extra from central government. The grants are only available to families who could not otherwise afford to buy their own homes.

But councillors in Rossendale have voted not to continue with the scheme because the authority already has too many empty council properties.

A report to the Housing Committee showed 138 homes empty - an increase of 21 on the start of the year - with the council's vacancy rate now standing at 2.8 per cent of total shock. The problem is worst in Bacup where nearly one in every 14 council homes stands empty.

Coun Paulinus Barnes said: "We already have enough empty properties. We are not borrowing money to create more."

Rossendale Council has operated the scheme for three years and awarded a total of 11 grants. It is one of the few areas in which the council has been praised by the government for its housing work.

A report from the government has criticised Rossendale Council's housing record.

Council Chief Executive Steven Hartley and Housing Director David Taylor will meet government officials to discuss the council's problems.

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