Second phase of social housing scheme to go ahead

The overall project consists of 133 houses

Work on a £13m social housing project in the south of the Isle of Man will start "as quickly as possible", the chairman of the local authority has said.

The second phase of the scheme in the School Hill area of Castletown is set to see 48 homes built, 18 of which will be bungalows, to replace properties built in the 1940s.

The development is part of a wider 133-home project backed by planners in 2019, which includes a total of 94 public sector properties, with the remainder set to be first-time buyer houses.

Castletown Commissioners chairman Tony Brown said the local authority was "pleased" that borrowing the money had now been approved and but insisted it would not put a burden rates.

Phase two of the project comprises 48 houses and is set to cost £13m

The Department of infrastructure (DoI) has approved an application from local authority to borrow £13.47m to fund phase two of the housing development, which will be repaid over 30 years.

The government's Housing Deficiency Fund would cover the gap between the costs of social housing, and the rental income the local authority receives, meaning the scheme would not impact on ratepayers, Brown said.

The redevelopment will see the replacement of 1940s housing

He said that phase one of the project, which began early last year, was "virtually completed," pending snagging issues.

Brown has previously said that the progress illustrates the authority "remains fully committed to delivering modern, high-quality, and affordable housing" in the town.