YORK people could soon stand a better chance of getting a foot on the housing ladder if a multi-million pound funding bid is successful.

City of York Council, in partnership with local authorities in Harrogate and Leeds, is hoping to win £7.5 million from the Regional Housing Board.

It is believed the money could be used to provide more discount for-sale housing in the city, where housing associations retain a nominal stake in the property.

The partnership was created after a group of housing and planning professionals from the three councils came together to talk about the problem of providing affordable housing.

It has been successful in its bid for transformational funding, which means it will be able to bring in a range of initiatives with private sector funding to help people in the city's expensive property market.

Funding of £500,000 should be released for next year to pilot a home ownership assistance scheme, with the aim of increasing housing opportunity for first- time buyers and key workers within York, Harrogate and Leeds - nicknamed the "Golden Triangle".

The Joseph Rowntree Foundation will carry out research into what's behind and the effects of the Golden Triangle phenomenon.

A City of York Council spokeswoman said: "We are working in partnership with Leeds City Council, Harrogate Borough Council, Home Housing and Yorkshire Housing Group to look at the issues of affordable housing in the region."

Updated: 10:33 Wednesday, May 26, 2004