MILLIONS of pounds are to be spent building new homes and modernising old council houses in York.

City of York Council has announced proposals for a £5.7 million building programme to combat a "desperate" shortage of homes in the city.

About £1.4 million of the money has come from the proceeds of past council house sales, which the Labour Government is allowing councils to spend for the first time.

The proposals, which are being put to a housing services committee meeting next Monday, include:

* Seventy new homes on land in the Leeman Road area, Clifton Moor and Strensall, costing £570,000.

* Eight hundred homes to be specially adapted for the elderly and disabled, costing £400,000.

* The fitting of security measures at homes across the city, costing £100,000.

* New windows for 90 houses in Clifton, costing £220,000.

* Urgent repairs to 15 houses at Acomb, built in the 1940s, costing £200,000.

Another major project, costing £1.7 million, will involve installing new heating, kitchens and bathrooms in 335 homes in the Dringhouses, Lowfield and Hamilton Drive areas of York.

A survey has shown that York needs 3,400 affordable homes within the next five years.

Housing chief Roy Wallington says there is a desperate situation, with almost 4,000 households on a growing waiting list for suitable homes and families with children forced to live in two-bedroom flats. The 70 new homes will be built in partnership with housing associations.

Committee chairman Viv Kind said the council was spending money on things which residents had said were a priority.

"The people of York are crying out for new rented homes and investment in improving existing homes."

Of the new homes, 19 will be built in Bismarck Street off Leeman Road, where there will also be a new children's home.

The council says that by working in partnership with housing associations, it can achieve nearly four times as many homes than would have been possible had the council built the homes itself.

The security spending will include installation of burglar alarms, strengthening of doors and windows and improvement of external lighting.

The council says some homes at Acomb lack any central heating and bathrooms and kitchens are in urgent need of imporovement.

Another £1.4 million will be spent on improvement grants and disabled facilities grants to owners of private sector homes in York.

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