MORE than 4,400 new homes could be built every year in the North-East for half the money spent on housing benefit, a union says.

GMB says much of the £411bn of taxpayer’s money spent on housing benefit in the last 30 years has gone to private landlords.

The union has called for an end to what it calls “corporate” welfare.

It says 4,466 new homes could be built in the North-East region each year if just half the total of £991.6m that was spent on housing benefit in 2011/12 in the region was instead spent on investment in new social housing.

The union has called for a fundamental break in housing policy and for the billions spent subsidising private landlords to be switched to building new houses to let at affordable rents.

Tommy Brennan, GMB regional secretary, said “Half the cash spent in the North-East region on housing benefit last year would fund 4,466 new homes each year in the region.

“Housing benefits to meet housing costs for rented accommodation for those on low incomes is a Thatcher Tory policy. The cost has ballooned to £23bn per year.

“Public funds should be switched to investment in social housing and away from this failed expensive Tory policy of corporate welfare and private greed.

“GMB Congress wants a Labour Party election manifesto insisting that councils build new homes to let at affordable rents all across the region.”