AN EXTRA £30 million is needed to bring Selby's council houses up to new Government standards, a shock report has revealed.

The Government's "decent homes" standard has to be met by all councils by 2010 - leaving Selby with annual debts of more than £3 million over the next nine years unless it approves year-on-year rent hikes of £15 a week.

The bombshell was dropped by consultants in a condition report on Selby's 3,700 council properties.

Conservative councillors said today the council would now come under intense pressure to sell its properties to housing associations to avoid going heavily into the red.

Council chairman Wally Norton (Con) said it would be impossible for cash-strapped Selby to find £30 million over the next nine years without borrowing.

He said the best solution would be to cash in "overnight" by selling off the properties for about £55 million - leaving the council debt-free and with money in the bank.

Tenants would also retain all their existing rights, including the right to buy.

Coun Norton said: "Other councils have gone down this route and it's proved a huge success.

"It makes sound commercial sense when you consider that over the past 12 years we have given over £8 million worth of land to housing associations."

The council's Labour group has responded by arranging for a New Year delegation to meet Housing Minister Sally Keeble in a bid to avert any sell-off.

Housing committee chairman Melanie Davis (Lab) said: "The reason housing associations could meet the new Government standards is by using our properties as security to borrow money.

"If we were allowed to do that we could achieve exactly the same, but we're prevented from borrowing.

"We will be asking the minister for the right to do that."

Coun Davis added: "Our tenants are happy with us as landlords and I'll fight tooth and nail any attempts to sell the family silverware."

The Government's new "decent homes" initiative includes central heating, double glazing, cavity wall and loft insulation, and modern kitchens and bathrooms. Electrical wiring and roofs also have to be up to a benchmark standard.

Updated: 14:28 Thursday, January 03, 2002