ALMOST £60,000 could be provided by South Lakeland District Council for three ‘affordable’ homes in Grange-over-Sands.

The council’s cabinet approved in principle a grant of £58,000 for three two-bedroom properties on land it owns at the former Yewbarrow depot, during a meeting in Kendal last week.

The money, from the New Homes Bonus, will go to South Lakes Housing.

Council portfolio holder for strategic growth, Coun Jonathan Brook, said: “This project provides much-needed homes at prices local people can afford.

“Tackling the shortage of affordable housing in South Lakeland is a key priority for all of us.

“It is vital that we provide suitable homes for young people so they can stay and raise families here and also for ageing members of our community.”

The New Homes Bonus was introduced by the government in 2011.

For every new home or property brought back into use, the government will pay the council the equivalent to the council tax raised by the property, plus an additional £350 for each affordable home.

Local councils are free to spend the bonus in line with community wishes.

“This is exactly what Grange needs,” said council leader, Peter Thornton.

Coun Tom Harvey, district councillor for Grange South and chairman of Grange Town Council said: "Its good to see that the New Homes Bonus is being used for the right reasons, namely enabling the building of truly affordable homes in our town.

“Small scale sustainable development like this is exactly what we need and is in marked contrast to the over 500 open market houses that SLDC are trying to lever into our already congested town over the next few years through the Local Plan"