Labour MPs are urging the Treasury to forgive billions of pounds of legacy debt owed by councils, Sky News reports. The call comes on the eve of the Budget, which the Chancellor, John Healey, delivers on Wednesday 28 October.
According to Sky News, the MPs say writing off the debt would support Andy Burnham's pledge of a post-war housebuilding boom. The report does not give an exact figure for the debt they want cancelled, and no government response has been reported.
This is lobbying, not policy. Housing campaigners have made similar calls before. A letter published by Labour Hub on 21 August pressed the Chancellor to cancel Housing Revenue Account debt.
The Treasury has already confirmed more than £1bn for social and affordable housing. Whether any debt relief for councils features in the Budget will not be known until the statement.