BUILDING work was started on 690 new homes in York last year, according to new figures from the Home Builder's Federation.

The level of building work supported 2,967 jobs in the city and contributed £1.1 million towards education, £6.9 million in tax contributions, 159 affordable homes and payments of £15.2 million to local authorities for further provision of new affordable homes, according to the Federation's latest report.

However frustration still remains over a lack of house building in the city.

Simon Usher, deputy managing director at Persimmon Homes Yorkshire, said: "Surprisingly, and much to our frustration, we built no new homes in York in 2014, despite it being the location of our headquarters.

"We own land at the Barbican and Germany Beck, with plans to start on Germany Beck soon. We have another planning application running for land opposite B&Q in Hull Road, and are working with officers of the council on design matters.

"Persimmon Homes Yorkshire employs 40 people at the York office, built 400 new homes in the Yorkshire area in 2014. The company will build a further 450 in 2015 and 600 in 2016.

"It is estimated that every pound invested in building new homes generates £2.84 for the local economy.

"Previously there was a general consensus that at least 900 new homes are needed per annum, rising to more than1000 new homes per year in the most recent plan. Ultimately, it will be the council that objectively assesses the housing needs of the city, and we await the new figures eagerly.

"Historically no Development Plan has been in place in York. A strong sound plan would help guide appropriate development decisions."

City of York Council says building "much-needed" new and affordable homes continues to be a "key priority" with "good progress" being make on the development of a Local Plan.

Council leader Cllr Chris Steward said: "The council remains committed to delivering more affordable housing for residents and more jobs while protecting York’s unique built environment for future generations.

"The council remains committed to building homes in York and over the last couple of years York’s affordability has improved, which is demonstrated through the Centre for Cites 2015 outlook figures placing York 11th for its ‘affordability ratio’, from position 12 in 2014 and 17 in 2013."