Minister faces £200m housing hole

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Social Development Minister Margaret Ritchie has said she is facing a shortfall of £200m in the housing budget over the next two years.

She told a Stormont Committee "radical change" was needed in her budget.

The Social Development Committee was told plans to build 1,500 houses this year could be cut by 400.

The minister needs to find £95m next year and £86m in 2011 as the property slump means anticipated income from sales has evaporated.

"It is very clear that the economic downturn is much more than could have been forecast just six months ago," she said.

"And this will put pressure on all departments' programmes and therefore provide less in-year room for reallocations between departments than was possible in the past.

"This year's programmes have been under pressure all year because of the virtual collapse of house and land sales."

She said her target for 1,500 new social and affordable homes this year will slip if no extra funds are allocated in February from other departments, but promised to look for ways to make that setback up.