THE number of council houses planned to be built in the city over the next five years has been cut.
Nottingham City Homes and the city council announced plans last year to demolish 900 homes city and build 500.
However, this has now been reduced to 350.
A spokesman for the organisation said: "We believed at that time that we'd probably be able to build 500. It was an aspirational figure.
"What's happened is the figures have been worked out by the Government and they've squeezed the funding pot."
NCH is taking a long-term loan to pay for the houses, which will be paid off from rental income over the next 30 years.
The money is likely to come from the Public Works Loan Board, an independent body that provides low interest loans, but NCH said it only expected to be able to borrow about £33 million due to other changes in Government finance.
It estimates it costs an average of £100,000 to build one council house.
However, Nottingham City Council has said it is also expecting housing associations to come forward and build a further 150 homes.
Meanwhile, council tenants are already being rehoused to make way for the demolition of the 900 homes.
Highcross Court Flats, in Clifford Street, Radford, have already been demolished and work has also started on nearby Highurst Court in Highurst Road. The building has been stripped of its internal fittings, such as doors and alarms, and parts from lifts where spares are hard to find.
Bricks and concrete will be crushed on site and used in the new-build project or recycled.
Timber is recycled into chippings and made into building boards.
Any metal which can't be used will be sold as scrap.
Tenants in neighbouring Clifford Court are being rehoused and the flats will be knocked down in the spring.
Nottingham City councillor Dave Liversidge said: "These homes no longer provided a good quality of life for tenants and any renovation work to meet Decent Homes standard would have been extremely costly and not had a great impact on improving the surrounding environment.
"When we add in other problems – such as their design or location, access difficulties and their age – it makes sense for us to look at redevelopment rather than refurbishment.
"Now we have the opportunity to provide modern, high-quality and energy-efficient homes in attractive developments that not only provide a pleasant environment for residents but also help improve the whole area and neighbourhood."
New homes will be built on many of the sites where houses have been demolished but also on other land – details have not yet been released on this.
