A DISCOUNT housing scheme to help young people get a foot on the first rung of the property ladder has been blocked by Worcester City Council.

Developer Chris Hemming applied for planning permission to convert Barbourne Works, the former Reality Group offices, on the junction of Northwich Avenue and Sabrina Avenue, into 46 apartments.

He planned to sell 15 of the flats at a 45 per cent discount to meet the Government's demands to provide "affordable" housing in new developments. This would mean they would cost around £57,000 each.

But the council's planning committee voted to refuse the planning application because the initiative did not meet those in greatest need of housing.

At the meeting, Mr Hemming, managing director of Pershore-based firm Rhys-Davies Services Ltd, said a similar scheme had proved successful in Pershore.

"We believe there are a number of people in the community who can get a mortgage, but not one sufficient to buy a property in Worcester because house prices are so high," he said.

But housing officer Kathryn Robb told members that it was the council's duty to use the affordable housing policy to provide homes to those most in need, which generally meant providing cheaper rented accommodation through a housing association.

"We have a statutory duty to meet local need, which pushes us to look at where that need is most acute," she said.

"We are not in a position where we have got unlimited development for affordable housing so we have to make sure we make the most of every opportunity that becomes available."

Normally, any affordable housing included in new developments is rented to people on the housing list, through one of the local housing associations.

"Our housing and planning officers both say this development will not meet the greatest needs of the people in the city," said Councillor Jo Hodges.

"And I see no reason why we should depart from our policy that provision should be for rent through a housing association."

Members voted to refuse the planning application, but approved the conversion of the listed building in principle.