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Boris Johnson is threatening to take the Government to court to prevent London losing more than £100million of new money for housing.
The Mayor believes that the capital is not getting its fair share of £1.5billion of extra cash pledged by the Prime Minister to kick-start the construction industry out of recession.
He claims the money is being redirected out of London to house-building projects in the North, and that ministers have "ridden roughshod" over his right to be consulted on housing budgets.
Though his advisers say the Mayor is not looking at legal action as a first option, they have warned he is prepared to seek a judicial review in the High Court over the Government's failure to consult. The Government claims there are no grounds for such a challenge.
Richard Blakeway, the Mayor's housing adviser, said: "We would prefer not to have a fight with the Government over this, but a number of new laws have reinforced the Mayor's role and London's independence in housing matters."
Mr Johnson pledged to build 50,000 affordable homes across London by 2011. Of the £1.5billion announced by Gordon Brown, half is being allocated across the English regions, with London receiving £207million.
City Hall claims that the capital should have received £315million.
It claims that London has lost out because the Government has abandoned a formula for sharing money across the English regions, in the hope that as many new homes are built as quickly as possible.
Construction projects in London are typically more expensive and take longer to complete.
Mr Johnson said: "I am looking at how I can use my powers to win back London's rightful share of new housing funds, and reverse those decisions that condemn many of London's poorest families to live in unacceptably poor conditions."
The Department for Communities and Local Government said London was £200million better off as a result of the Prime Minister's pledge. Last week, a £170million "kick-start" scheme was unveiled to restart work on 2,240 unfinished homes in the capital.
Reader views (5)
Why should London get preference over other regions. there are thousands of homeless people in the midlands and north, but London id only fit for office blocks and expensive high rise apartments. Boris is living up to his name, the owl of the remove.!
T H Leeds
- Thomas Hayes, Leeds UK
it the mayor failed to invest in homes who can afford it.
- Andy, London
Mmm by the time it goes to court wont he be suing Dave Cameron government? Mind you not that we know their policies since they've not botehred to have many in this one horse race, guess they know they cant loose so why bother.
- Carla, London
So what happened to the millions of pounds raised under the right to buy law brought in by Thatcher given that she stopped councils using this money to build replacement properties. This is the route of to-days housing crisis - Another fine mess Tory Governments create.
- Melvyn Windebank, Canvey Island, Essex
This is brilliant news!
This is what the opposition should also be doing.
This is what we should all be doing.
- Peter Thurgood, London, UK
